§ Mr. Ralph Howellasked the Chancellor of the Exchequer, in view of the fact that trade union subscriptions are tax allowable, whether this means that the political levy to the Labour Party included in those subscriptions may also be set against income tax.
537W
§ Mr. Peter ReesTrade union subscriptions are not, as such, allowable deductions for tax purposes. Subscriptions to professional bodies may, however, be allowed if the activities of the body meet certain criteria as to professional status; and the fact that such a body is also a trade union does not disqualify it from approval for tax purposes provided that its activities meet the prescribed criteria. I am not aware of any body which has been so approved whose subscription includes a political levy.
§ Mr. Ralph Howellasked the Chancellor of the Exchequer what is the estimated tax expenditure cost in 1979–80 of tax relief on trade union subscriptions; and what was the cost in 1978–79.
OFFICIAL DISCOUNT RATES Per cent. end period United Kingdom United States France West Germany Netherlands Japan 1977— 4th quarter … 7.00 6.00 9.50 3.00 4.50 4.25 1978— 1st quarter … 6.50 6.50 9.50 3.00 4.50 3.50 2nd quarter 10.00 7.25 9.50 3.00 4.00 3.50 3rd quarter … 10.00 8.00 9.50 3.00 5.50 3.50 4th quarter. … 12.50 9.50 9.50 3.00 6.50 3.50 1979— 1st quarter … 13.00 9.50 9.50 4.00 6.50 3.50 Current … … 14.00 9.50 9.50 4.00 7.00 4.25 Source: OECD