§ 71. Mr. Nabarroasked the Chancellor of the Exchequer whether he is aware of the unsatisfactory position which still exists with regard to the Purchase Tax on cake ornaments; and that whereas cake frills are chargeable to Purchase Tax at 12½ per cent. and cake ornaments at 25 per cent., cake boards and cake cards are not chargeable to such tax; and what would be the cost of removing Purchase Tax entirely from cake accessories.
§ Mr. BarberI would refer my hon. Friend to my right hon. Friend's reply of 25th March, 1958. I am aware of the facts, but I do not share my hon. Friend's view of them. As regards the last part of the Question, no estimate is possible.
§ 72. Mr. Nabarroasked the Chancellor of the Exchequer whether he is aware that it is laid down in Customs and Excise Notice No. 78 that for framed mirrors the Purchase Tax charge of 25 per cent. applies to the whole article under Group 11 (c) whether or not the frame is ordered or supplied separately from the mirror; and, in view of the fact that certain frames suitable for surrounding mirrors are exempt from Purchase Tax under Group 25, how he ensures that frames free of tax ordered under Group 25 are not subsequently used for framing mirrors.
§ Mr. BarberMy right hon. Friend is not prepared to describe the means by which attempts to avoid payment of any tax due are countered.
§ Mr. Nabarroasked the Chancellor of the Exchequer whether he will now reconsider the present arrangements under which Purchase Tax on hair-waving and hair-drying machines and some articles designed for heating the hair in the process of waving, curling and setting it is imposed at 25 per cent., whereas all other articles designed for waving, curling or 13W setting the hair are subject to Purchase Tax at 50 per cent.; and whether he will now establish a lower and uniform rate of taxation on all such apparatus.
§ Mr. BarberI cannot anticipate my right hon. Friend's Budget decisions.