§ Sir EDWARD CARSONasked the Chancellor of the Exchequer under what 1002W authority banks and public companies are entitled to deduct Income Tax from dividends on Consols and other investments before the Finance Bill of the year becomes law; whether the Government give any directions on the subject; and whether the banks receive any commission upon such deductions?
§ Mr. LLOYD GEORGEThe authority for the invariable practice of Bankers and Paying Agents to deduct Income Tax from interest and dividends is the Resolution of the House of Commons in Committee of Ways and Means. The answer to the second part of the question is in the negative, and to the third part is in the affirmative.