§ 70. Lieut.-Colonel Liptonasked the Chancellor of the Exchequer in what circumstances Income Tax is refunded to ex-Service men who were paying tax immediately before and subsequent to their period of service; what is the estimated number of ex-Service men entitled to such refund; and how many have applied for it.
§ Mr. JayMy hon. and gallant Friend is presumably referring to cash payments to temporary Crown servants who on entry into Crown service suffered overlapping payments of tax and who, in consequence of the introduction of "Pay as you Earn" were deprived of the compensatory tax holiday which they would otherwise have enjoyed on leaving Crown service. Full details were given in a Parliamentary Answer on 14th June, 1945, of which I am sending my hon. and gallant Friend a copy. Some 25,000 claims have been lodged and payment was found to be due in about 12,000 of these cases; separate figures for ex-Service men are not available. Special steps were taken to notify all possible 79W claimants and the number of eligible persons who have not claimed is thought to be very small. The arrangement will not apply to anyone leaving Crown service after the end of this year.