§ 58. Mr. Storeyasked the Chancellor of the Exchequer if, in order to compensate traders for loss through Purchase Tax paid either on goods which become unsaleable or upon which Purchase Tax is removed or reduced, he will consider granting traders a discount of 10 per cent. when paying their Purchase Tax accounts.
§ Sir S. CrippsNo. I could not contemplate such a course.
§ Mr. Teelingasked the Chancellor of the Exchequer whether his attention has been called to the fact that a man who wants his own upholstered suite of furniture re-covered, has to pay the Purchase 23W Tax applicable to fabrics, which is 66 per cent., whereas if he purchases a new suite the Purchase Tax would only be one-third; and whether he will take this anomaly into consideration in his forthcoming Budget.
§ Sir S. CrippsI am aware of the position, but I fear that I cannot anticipate my Budget statement. I would point out, however, that the tax at 33⅓ per cent. on a new suite is chargeable on the wholesale value of the complete suite whereas in the case of a re-upholstered suite the tax at the 66 ⅔ per cent. rate is payable only on the wholesale value of the cloth used.