HC Deb 31 July 1946 vol 426 cc197-8W
107. Colonel J. R. H. Hutchison

asked the President of the Board of Trade whether he is aware that British-produced floor coverings are liable, when paying Customs duty in the U.S.A., to pay duty also on British Purchase Tax; and whether he has any further information regarding the U.S.A. attitude towards the elimination of Purchase Tax on British goods in general when they are subject to ad valorem duty.

Mr. Marquand

Yes, Sir. The United States Court of Customs and Patent Appeals has ruled in an important case that United Kingdom Purchase Tax should not be included in the dutiable value of the goods concerned. I understand that the Federal authorities do not propose to appeal further against this ruling, but are not yet in a position to state whether it will be applied to all classes of goods subject to United Kingdom Purchase Tax. A decision is expected shortly.