§ Mr. Ralph Howellasked the Chancellor of the Exchequer if he will publish a table setting out the tax benefits of civil servants and members of the Armed-Forces, respectively, in cases where they are sick; and if he will set out the different bases upon which the tax reliefs are made.
§ Mr. Robert SheldonMembers of the Armed Forces do not receive sickness benefit and on this account pay national insurance contributions at a lower rate. Sickness does not therefore directly affect their tax liability.
Civil servants are entitled to sickness benefit and either have their pay reduced by reference to the benefit they receive or renounce the benefit and continue to be paid at the normal rate. The sickness benefit—or equivalent amount of pay—is not taxable, but the effect of this on the individual's tax liability varies with the level of pay and the length of sickness.