§ Mr. Woollamasked the Chancellor of the Exchequer why the Inland Revenue has ruled that distribution by the Suez Canal Company to United Kingdom residents of compensation received from the United Arab Republic will be subject to United Kingdom Income Tax; and whether he will have this ruling reconsidered, having regard to the losses already suffered by these United Kingdom residents arising out of the actions of the United Arab Republic.
§ Mr. SimonThe question here is one of interpretation of the Income Tax law and the Inland Revenue is advised that the distributions in question will constitute income chargeable to tax if received by shareholders resident in the United Kingdom. A shareholder will be entitled to appeal against any assessment made on him.