HC Deb 03 November 1920 vol 134 cc400-1W
Sir W. RUTHERFORD

asked the Chancellor of the Exchequer whether workmen receiving wages to an amount rendering them liable for Income Tax have to pay Income Tax on the sums deducted from their wages as contributors under the National Health Act; and whether this will also apply to any contributions under the Unemployment Act when that Act comes into force?

Mr. CHAMBERLAIN

The Income Tax Acts do not permit any deduction in respect of payments to secure benefits during sickness or unemployment, whether such payments are made in the shape of premiums to insurance companies or by way of contributions under an Act of Parliament. The law in this matter applies, of course, equally to all classes of taxpayers.

Sir W. RUTHERFORD

asked the Chancellor of the Exchequer whether he is aware that the employés of the Liverpool Corporation are debarred from the rights accorded to other citizens of being assessed for income tax by the local surveyor of taxes, when they would obtain a notice of assessment and an account showing the sum due and a receipt for the amount paid to the collector; whether Liverpool is only one of two corporations where the tax is deducted from the employés' salaries; whether it is a fact that six months' tax is being deducted from one month's salary without any previous notice; and whether he will take steps to obtain an alteration in these two directions?

Mr. CHAMBERLAIN

I would refer my hon. Friend to the reply which I gave yesterday to a question on this subject by the hon. Member for the Westhoughton Division (Mr. T. Wilson).

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