HC Deb 06 May 1925 vol 183 c961W
Mr. MacROBERT

asked the Chancellor of the Exchequer if he is aware that the provisions of the Income Tax Act, 1918, with reference to the assessment on the basis of a three years' average of Income Tax under Case V of Schedule D, Rule I, in respect of income arising from stocks and shares in foreign countries, are in practice rendered nugatory by the instructions given by the Board of Inland Revenue to bankers and others to deduct Income Tax to the full extent when cashing dividends arising from such stocks and shares, and by the refusal of the Board to have such Income Tax charge afterwards adjusted to the average of three years; and what steps he proposes to take so as to ensure that the taxpayer will receive the benefit conferred upon him by Rule I of Case V of the said Act?

Mr. GUINNESS

Dividends, etc., of a foreign or Colonial company which are entrusted to a person in this country for payment are, by virtue of Rule 7 of the miscellaneous rules of Schedule D of the Income Tax Act, 1918, chargeable by reference to the provisions of Schedule C as indicated in paragraph 2 of that Rule, and not, therefore, upon a three years' average under Case V of Schedule D.