§ Mr. Marlowasked the Chancellor of the Exchequer how the portion of transitional allowances not assessed as taxable income is calculated for former members of the European Commission.
§ Mr. Peter Rees[pursuant to his reply, 26 February 1981, c. 442]: The calculation of tax charged by the European Community is not a matter for the United Kingdom Government. The Community's income tax system is administered by the European Commission and its provisions are set out in Council regulations No.260(68)—Official Journal of the European Communities 4.3.68. No. L56/8. However, I understand 448W that family allowances and certain other amounts are deducted in arriving at the amount on which the tax is calculated.