§ Mr. Stratton Millsasked the Chancellor of the Exchequer, having regard to the Government's request for a dividend standstill, what direction he is; giving to the Inland Revenue concerning publicly quoted close companies which increase their profits and are required by the Finance Act 1965 to pay out 6 per cent. of their profits thus increasing their dividend; and if he will make a statement.
27W
§ Mr. MacDermotAs indicated in the White Paper on the Prices and Incomes standstill the obligation on companies not to increase distributions during the twelvemonth period is subject to an exception for distributions to meet the requirements of the special tax rules for closely-controlled companies.