HC Deb 07 May 1935 vol 301 c815W

asked the Secretary of State for Scotland, with regard to the moratorium granted on payments exigible from sheep-stock clubs in the Highlands of Scotland, which moratorium was designed to meet the serious situation arising from the collapse in sheep prices, whether he is aware that the Inland Revenue authorities are now negativing its effect by levying Income Tax upon these sheep-stock clubs upon the ground that they are co-operative societies; and what action is proposed to preserve the benefit of the moratorium?


The moratorium to which the hon. Member refers covered payments due to the Department of Agriculture for Scotland in respect of loans advanced to credit societies for the purchase of sheep stocks. The assessment of Income Tax is a different matter, and in the case of the societies referred to is governed by the terms of Section 31 of the Finance Act, 1933.