§ 65. Mr. Nabarroasked the Chancellor of the Exchequer what principles now govern his decision as to whether articles should be subjected to Purchase Tax at the various rates between 5 per cent. and 90 per cent., or whether they should be exempted from such tax altogether.
§ Mr. P. ThorneycroftIn all decisions on the rates and incidence of Purchase Tax the interests of trade and the consumer have to be balanced with the necessity to raise a given revenue.
§ 66. Mr. Nabarroasked the Chancellor of the Exchequer for what reason it has been decided that a wooden pedestal desk, which is designed to sit more than one person, cannot be a domestic desk, and is therefore liable for Purchase Tax at the rate of 30 per cent. as against 5 per cent.
§ Mr. P. ThorneycroftOn trade advice. The rate of tax applicable is 15 not 30 per cent.
§ 67. Mr. Nabarroasked the Chancellor of the Exchequer when the decision was reached that the Purchase Tax of 30 per cent. should not apply to lawn-mowing machines with a cutting width of 18 114W inches or more; and whether he will review this regulation at an early date.
§ Mr. P. ThorneycroftIn July, 1955. In answer to the second part of the Question, I would refer my hon. Friend to the answer which I gave him on 19th November.