§ Mr. Glenvil Hallasked the Chancellor of the Exchequer whether he is aware that the steep rise in the Income Tax has added a considerable burden to persons buying their homes under the tax-free mortgage interest system; and whether as the large insurance companies, to which a measure of tax relief on their investment revenue from life assurance was recently given, are the principal beneficiaries under this system, he will consider the possibility of giving some relief to house-purchasers borrowing in this way?
§ Sir K. WoodI am aware of the existence of mortgage agreements of the kind referred to, but I am afraid that I cannot see my way to propose any relief in respect of the interest. The relief given to insurance companies to which my hon. Friend refers relates only to income allocated to policy-holders.
§ Sir J. Mellorasked the Chancellor of the Exchequer whether he will cause an estimate to be prepared of the total income of charitable institutions with a view to showing the amount of revenue lost to the Exchequer through the exemption of such institutions from taxation; and whether he will now take steps to amend the definition of the word "charity" for the purposes of the Income Tax Acts in order to secure that only those institutions, which substantially promote the welfare of the British people, shall enjoy exemption from Income Tax?
§ Sir K. WoodAs regards the first part of the Question I would refer my hon. Friend to the reply given to him by my predecessor on 16th April last. The preparation of estimates of the total income of charitable institutions would entail the expenditure of a great deal of time and 1611W labour which, I think, could not be justified at present. With reference to the second part of the Question, I cannot add anything to the reply given to my hon. Friend by my predecessor on 25th April last.