§ Mr. Longdenasked the Chancellor of the Exchequer what is the present annual yield from Purchase Tax; and what is the estimated yield from a 2 per cent. sales tax on all goods and services and a 2 per cent. tax on added value, respectively.
§ Mr. Harold LeverThe present annual yield from Purchase Tax is £735 million. The estimated yield from a sales tax on consumer expenditure on all goods and services charged at the rate of 2 per cent., either at the retail stage or on an added value basis down to the retail stage, would be of the order of £400 million to £500 million.