§ Mr. P. OLIVERasked the Financial Secretary to the Treasury whether, seeing that it is the practice in computing the profits of industrial undertakings for the purpose of Income Tax to allow contributions to charities to be deducted as an expense in the case of contributions for the ordinary purposes of a charity, but not in the case of contributions for the extension or other capital purposes of the charity, and in view of the need for the extension of hospital facilities, he will consider the possibility of extending the privilege of deduction to contributions for such purposes?
§ Mr. PETHICK-LAWRENCEI regret that I do not see my way to adopt the hon. Member's suggestion. It would conflict with the fundamental principle of the Income Tax code that capital expenditure is not admissable as a deduction in the computation of income.