§ Mr. Arthur Lewis
asked the Chancellor of the Exchequer if lie will have discussions within the EEC designed to remove the present freedom from payment of tax on the salaries and emoluments of United Kingdom citizens employed by the EEC.
§ Mr. Robert Sheldon
I do not propose to initiate any such discussions. The remuneration of the staff of the EEC is subjected to a graduated tax imposed by the EEC. Ending its exemption from national income taxation would be unlikely to enable United Kingdom tax to be charged on it in many cases, since most of the staff would be effectively 31W exempted under the general Schedule E rules which relieve remuneration for duties performed outside the United Kingdom during a continuous period of absence.