§ Mr. MILLAR
asked the Chancellor of the Exchequer whether the question of the deduction of Income Tax from grants towards unemployment relief schemes is at present engaging the consideration of 523W the Treasury; whether some decision will be announced soon; and whether, in view of the uncertainty prevailing as to whether future grants will be made subject to such deduction, he is in a position to make any further statement on the subject?
§ Mr. PETHICK-LAWRENCE
As the hon. Member is no doubt aware, I have explained in previous answers what, 1 am advised, is the liability under the Income Tax law in this respect, and I see no ground for proposing any modification of the existing statutory provisions. This view of the legal position has recently been confirmed by the High Court in a case which is now under appeal to the Court of Appeal.