§ Mr. Ovendenasked the Chancellor of the Exchequer if he will amend the tax system so that divorced or separated women whose incomes are not above the tax threshold can receive maintenance payments without tax deductions and thus avoid the necessity to claim refunds of tax.
§ Mr. Robert SheldonI regret that my hon. Friend's suggestion would not be practicable since whether a divorced or separated wife's total income is above her particular tax threshold is often not known until after the end of the income tax year and that information would in any case not be available to the payer. However, where such payments are made under a court order and do not exceed certain limits—at present £12 per week or £52 per month, but now under review—they are made without deduction of tax and taxed if necessary in the hands of the recipient.