§ Mr. T. Williamsasked the Chancellor of the Exchequer whether he can now state the amounts paid in Income Tax by local authorities in Great Britain during the financial years 1930–31, and the latest year for which figures are available; and the amounts paid by trading and non-trading departments, separately, for the same two years?
§ Sir J. SimonI promised the hon. Member that I would make inquiries, and I find that the figures for which he asks516W could not be ascertained without detailed investigation and analysis which would have to be made specially in regard to the separate local authorities all over the country. In view of the time and labour which would be involved, I cannot undertake to furnish them.
§ Mr. R. Gibsonasked the Chancellor of the Exchequer whether, before finally deciding on his Budget proposals, he will consider favourably making permissible, for Income Tax assessment, deductions in respect of medical expenses, nursing home costs, and surgeon's fees, which have been necessarily incurred to enable a wage-earner to continue earning an income from which Income Tax is leviable; and whether he has any statement to make on the subject?
§ Sir J. SimonI regret that I cannot see my way to adopt the hon. Member's suggestion.
§ Mr. Pilkingtonasked the Chancellor of the Exchequer whether he will consider an adjustment of the law, in view of the fact that married persons have their total income assessed as one, which makes them become liable to considerably heavier taxation than two single persons having the same total income?
§ Sir J. SimonMy hon. Friend will not expect me to anticipate my Budget statement. I may point out, however, that the assumption on which his question is based is not generally true, for in the case of smaller incomes, and especially where the wife has no income of her own, the treatment of husband and wife as two single persons would in many cases increase the amount of tax which they would have to bear.
§ Sir C. Rawsonasked the Chancellor of the Exchequer whether, with a view to stimulating recruitment for the Territorial Army, he will, irrespective of the Budget, give consideration to a proposal to relieve employers from payment of an amount of Income Tax equivalent to the wages of each employé for a fortnight who has completed in any given year his fortnight's Territorial camp training, and thus encourage both the employer and the employé to respond to the national appeal?
§ Sir J. SimonMy hon. Friend invites me to consider his proposal "irrespective of the Budget" but if the general tax- 517W payer is to pay these wages, the financial effect has to be considered, and I am afraid that I cannot entertain the suggestion.
Mr. Owen Evansasked the Chancellor of the Exchequer whether he will enter into negotiations with the British Dominions overseas, which do not already do so, for arrangements under which they will grant any balance of relief required to eliminate the lower of the two rates of Income Tax?
§ Sir J. SimonThe granting by Dominions of the complementary relief to which my hon. Friend refers was recommended in the scheme for relief from double Income Tax within the Empire put forward by the Royal Commission on the Income Tax in 1920, which is implemented, so far as relief from United Kingdom tax is concerned, by the provisions of Section 27 of the Finance Act, 1920. The question of reviewing the scheme has been raised with the Dominions on more than one occasion since then, and I am afraid that it would not serve any useful purpose to reopen the matter with them at the present moment.
Mr. Owen Evansasked the Chancellor of the Exchequer whether, in view of the fact that the Civil Defence Bill provides for certain grants in respect of air-raid precautions expenditure which are approximately equivalent to the allowance of capital expenditure for Income Tax purposes, he will make it clear in the approaching Finance Bill, or in some other manner, that such part of air-raid precautions expenditure as is not refunded by a grant under the Civil Defence Bill will be regarded as an allowable deduction for Income Tax purposes and not disallowed on the grounds that it is capital or has been, for the purposes of a grant, claimed to be capital expenditure?
§ Sir J. SimonNo, Sir.
§ Mr. O Lewisasked the Chancellor of the Exchequer whether, with a view to increasing the number of shelters against air-raids in all parts of the country, he will consider as to whether some relief from direct taxation might be afforded to those private individuals who, at their own expense, proceed forthwith to construct shelters for the protection of their families and dependants, such relief to 518W be proportionate to the number of persons that the shelters could accommodate?
§ Sir J. SimonNo, Sir. I would, however, refer my hon. Friend to the provisions contained in Section 17 of the Finance Act, 1938, for relief from Income Tax, Schedule A, in respect of additions or alterations to buildings which are made solely for the purpose of affording protection in the event of air raids.