§ Mr. McKay
asked the Chancellor of the Exchequer the amount of contributions paid by the employers under the National Insurance Acts for the year 1956–57; to what extent this item was 69W recognised as a cost of production, thus reducing profits; and what was the loss to the Exchequer, in the shape of Income Tax, distributed Profits Tax, and undistributed Profits Tax.
§ Mr. Powell
£304 million for the calendar year 1956. Of this, £215 million was paid by employers in the private trading sector. It is estimated that, if the latter amount did not rank as a trading expense for tax purposes, the additional revenue collectible would be £90 million Income Tax and Surtax and £5 million Profits Tax.