§ Mr. T. JOHNSTONasked the Chancellor of the Exchequer if he is aware that, prior to the passing of the Finance Act, 1922, interest paid upon War Loan and chargeable for Income Tax under Case III of Schedule D was assessed upon the basis of income received from the same source during the year preceding assessment; that as a result of the legal decision, National Provident Institution v. Inland Revenue, it was held that when the War Loan was disposed of in the second year no Income Tax was leviable upon the interest paid in the preceding year: 756W and if he will say how much interest upon War Loan thus escaped taxation prior to the amending of the law in the Finance Act of 1922?
§ Mr. BALDWIN:I am aware of the facts mentioned in the first part of the question, but I regret that no information is available in regard to the amount of interest which has escaped taxation.