HC Deb 20 April 1961 vol 638 c126W
Sir W. Bromley-Davenport

asked the Chancellor of the Exchequer for what reason certain agricultural medicines, which are subject to Purchase Tax if put up in a proprietary form, qualify for exemption if sold in a non-proprietary form; and why this principle is not extended to other goods subject to Purchase Tax.

Mr. Barber

The tax distinction between drugs and medicines put up for sale in proprietary and in non-proprietary forms—a distinction which applies both to human and to animal medicines—reflects the view of the House that proprietary drugs and medicines are in general a proper subject for taxation.

But to exempt unbranded goods of whatever kind would destroy the Purchase Tax as a practicable source of revenue.