HC Deb 05 August 1925 vol 187 cc1387-90W
Colonel WEDGWOOD

asked the Financial Secretary to the Treasury the aggregates of the valuations of landed properties brought under review for purposes of Income Tax under Schedule A; what were the total receipts of Income Tax under that Schedule in England and Wales and in Scotland, respectively, for the financial year 1924–25, apart from personal allowances and other deductions which are applicable to Income Tax as a whole: and what are the estimated corresponding receipts under that Schedule at the present rate of Income Tax in these countries, respectively, for the present financial year?

Mr. GUINNESS

The approximate gross annual values of all properties brought under review for the purposes of Income Tax Schedule A for the year 1923–24 were as follows:

£
England and Wales … 319,800,000
Scotland … 36,500,000
Great Britain … 356,300,000

Corresponding figures for the year 1924–25 are not yet available.

I regret that, under the present system of graduation and differentiation of the Income Tax, with personal allowances, deductions, and relief appurtenant, not to the various sources of income charged under each Schedule, but to the total income of the taxpayer, the total yield cannot be divided between the respective Schedules.

Colonel DAY

asked the Financial Secretary to the Treasury whether he is aware that in assessing Income Tax it is the practice to make deductions from the £25 relief allowance in respect of maintenance of a dependent relative; and on what grounds is this relief granted by Act of Parliament not allowed wholly, but only in part?

Mr. GUINNESS

I think that the cases to which the hon. Member refers are probably cases which fall within Subsection (2) of Section 22 of the Finance Act, 1920. The effect of this Sub-section is that where a dependent relative is jointly maintained by two or more persons, the deduction of £25 is to be apportioned between such persons in proportion to the amount of value of their respective contributions towards the maintenance. If, however, the cases which the hon. Member has in mind are not of this nature, I shall be happy to look into the matter if he will give me particulars of specific cases.