HC Deb 13 March 1924 vol 170 cc2584-5W

asked the Financial Secretary to the Treasury whether he is aware that the Income Tax officials for the Charing Cross district have made additional assessments under Schedule E in respect of the years 1919–20, 1920–21 and 1921–22 on employés who have already been over-assessed by reason of their original assessments having been made under Schedule E instead of Schedule D; why these additional assessments have been served, having regard to the statement of the then Solicitor-General made in the course of the Debate on the Finance Bill that Sub-section (6) was not retrospective and did not apply to the years 1919, 1920 and 1921; and whether, in conformity with the spirit of the intention of the Government as expressed by the then Solicitor-General, he will give instructions for the assessments in question to be withdrawn and so avoid the expenditure of public and private moneys involved in recourse to the Courts to determine whether the Sub-section in question is, or is not, to be interpreted in a sense contrary to such expressed intention?

Year 1913–14. Year 1921–22.
All Schedules. Shedule A. All Schedules. Schedule A.
£ £ £ £
Gross Income 1,167,184,229 282,262,109 3,214,828,625 296,691,397
Deductions (necessary to reduce the Gross Income to the Actual Income liable to tax) for exemptions, repairs to property, wear and tear of machinery, overcharges in assessment, etc. 216,143,742 106,600,441 752,350,246 113,532,628
Actual Income liable to tax before deduction of personal or family allowances and reliefs. 951,040,487 175,661,668 2,462,478,379 183,158,769

It will be seen that the gross income is subject to considerable deductions of the nature stated in order to arrive at the actual income assessed. It will be appreciated also that, owing to changes in Income Tax law, the basis of computation of the actual income is not the same in both years.

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