§ 79. Mr. Nabarroasked the Chancellor of the Exchequer whether in view of the fact that books and a large range of other cultural media are not subjected to Purchase Tax, he will review the present position under which gramophone records are subjected to Purchase Tax at 60 per cent.; and whether he will give an estimate of the indirect loss to the Exchequer caused by the fact that records subject to this rate of tax have to be purchased in large quantities by the British Broadcasting Corporation, educational committees, municipal libraries, and other organisations dependent on Government financial support.
§ Mr. ErrollI would refer my hon. Friend to my right hon. Friend's reply to my hon. Friend the Member for Barry (Mr. Gower) on 9th December.
§ 80. Mr. Nabarroasked the Chancellor of the Exchequer what would now be the equivalent current exemption level for Purchase Tax to allow for change in the value of money in respect of the figure of £500 exemption limit, introduced 3rd November, 1941, and continued at that level until this date.
§ Mr. ErrollThe present equivalent of £500 in 1941 is £1,000 but, as my right hon. Friend has already indicated, he cannot accept the view that this would justify a corresponding increase in the level of the Purchase Tax exemption.