§ Mr. Errollasked the Secretary of State for the Colonies whether he is aware that, owing to the high cost of living in Malaya, many British employees on rubber plantations and in other Malayan enterprises are experiencing difficulty in maintaining a reasonable standard of life, and are unable to save sufficient money for retirement at the early age at which retirement from employment in tropical conditions is necessary; and what steps will be taken to ensure that the Income Tax provisions which are to be imposed, against the advice of the Advisory Councils, do not add further difficulties in this connection.
Mr. Creech JonesI sympathise with the difficulties referred to. The rates of tax, after allowing for certain reliefs, are on a sliding scale according to income, and it would not be equitable to grant special reliefs to one section of the community.
COMPARISON BETWEEN UNITED KINGDOM AND MALAYAN INCOME TAX.
United Kingdom. Malayan. 1. Companies rate 9S 4S. 2. Individuals— (a) Reliefs— (i) Earned Income 1/6th Nil (ii) Single person £110 £350 (iii) Married person £180 £525 (iv) Child £60 £87 (b) Rates of tax on incomes after allowing for above reliefs. First £50 at 3s. Next £75 at 6s. Rest at 9s. First £58 at 7d. Next £58 at 10d. and then by steps up to a maximum of 6s. over £5,833.