regulations made under this section he shall be liable to an excise penalty of 1007.

(4.) Notwithstanding anything in section 21 of "The Revenue Act, 1889," the allowance payable under section 3 of "The Customs and Inland Revenue Act, 1885," in respect of spirits of the nature of spirits of wine shall, in the case of any such spirits as are mentioned in sub-section (1) of this section, be payable only on the exportation of the spirits or on the spirits being used in the warehouse, and not on the deposit of the spirits in the warehouse.

9.-(1.) Where any unmanufactured tobacco grown in the United Kingdom is exported, or where any tobacco grown in the United Kingdom which has been deposited in any warehouse approved by the Commissioners of Customs and Excise under section 2 of "The Manufactured Tobacco Act, 1863." is shown to the satisfaction of the Commissioners to have been therein manufactured into cavendish or negrohead, there shall, subject to the provisions of this section, be paid in respect of every pound of that tobacco an allowance of 2d.

(2.) The allowance shall be paid in the case of tobacco exported to the exporter, and in the case of tobacco manufactured in a warehouse to the manufacturer.

(3.) No allowance shall be paid under this section

(a.) In respect of any tobacco which, in the opinion of the said Commissioners, is not in a marketable condition or has not been fully cured; or

(b.) Except upon production to the person by whom the allowance is to be paid of a certificate from the proper officer of Customs and Excise that the tobacco has been exported or manufactured into cavendish or negrohead as aforesaid.

(4.) No allowance shall be paid under this section after the expiration of two years from the exportation or deposit of the tobacco, as the case may be.

PART II.

10.-(1.) Income tax for the year beginning on the 6th day of April, 1915, shall be charged at the rate of 2s. 6d., and super-tax shall be charged, lev ed, and paid for that year at double the rates mentioned in section 3 of "The Finance Act, 1914 "*

(2.) All such enactments relating to income tax, including super-tax, as were in force with respect to the duties of income tax granted for the year beginning on the 6th day of April, 1914, shall have full force and effect with respect to any duties of income tax hereby granted:

Provided that

(a.) Sections 4 and 6 of "The Finance Act, 1914," which confer relief with respect to earned income and small incomes

Vol CVII, page 330.

respectively, shall have effect as though the rates mentioned in those sections were doubled; and

(b.) Sub-section (1) of section 12 of "The Finance Act, 1914" (Session 2), shall not have effect with respect to any duties of income tax hereby granted.

(3.) The annual value of any property which has been adopted for the purpose either of income tax under Schedules (A) and (B) in "The Income Tax Act, 1853," or of inhabited house duty, for the year ending on the 5th day of April, 1915, shall be taken as the annual value of such property for the same purpose for the next subsequent year; provided that this subsection

(a.) So far as respects the duty on inhabited houses in Scotland, shall be construed with the substitution of the 24th day of May for the 5th day of April; and

(b.) Shall not apply to the metropolis as defined by "The Valuation (Metropolis) Act, 1869."

11. Where an Assurance Company carries on life assurance business in conjuction with assurance business of any other class, the life assurance business of the Company shall, for the purposes of the Income Tax Acts, be treated as a separate business from any other class of business carried on by the Company.

12. In ascertaining for the purposes of section 101 of "The Income Tax Act, 1842," or of section 23 of "The Customs and Inland Revenue Act, 1890," whether an Assurance Company has sustained a loss in respect of its life assurance business, any income of the Company derived from the investment of its life assurance fund shall be treated as part of the profits of the Company acquired in that business.

13. The amount of annuities which an Assurance Company carrying on the business of granting annuities is entitled, for the purposes of subsection (3) of section 24 of "The Customs and Inland Revenue Act, 1888," to treat as having been paid out of profits or gains brought into charge to income tax shall not exceed the amount of the taxed income of its annuity fund.

14.-(1.) Where an Assurance Company carrying on life assurance business or any Company whose business consists mainly in the making of investments, and the principal part of whose income is derived therefrom, claims and proves to the satisfaction of the Special Commissioners that for any income tax year it has been charged to income tax by deduction or otherwise, and has not been so charged in respect of its profits in accordance with the rules under the first case in section 100 of "The Income Tax Act, 1842," the Company shall be entitled to repayment of so much of the tax paid by it as is equal to the amount of the tax on any sums disbursed as expenses of management (including commissions) for that year:

Provided that

(a.) Relief shall not be given under this section so to make the income tax paid by the Company less than the tax which

would have been paid if the profits of the Company had been charged in accordance with the said rules; and

(b.) The amount of any fines, fees, or profits, arising from reversions in the case of an Assurance Company, and in the case of any other Company the amount of any income or profits derived from sources not charged to income tax, shall be deducted from the amount treated as expenses of management for the year; and

(c.) In calculating profits rising from reversions, the Company may set off against those profits any loss arising from reversions for any previous year during which this section was in operation.

(2.) Notice of any claim to the Special Commissioners under this section, together with the particulars thereof, shall be given in writing to the surveyor of taxes for the district within twelve months after the expiration of the income tax year in respect of which the claim is made, and where the surveyor objects to such claim the Special Commissioners shall hear and determine the same in like manner as in the case of an appeal to them against an assessment under Schedule (D) and section 59 of "The Taxes and Management Act, 1880" (which relates to the statement of a case on a point of law), and any rules made for the purposes of that section shall apply in the ease of any such appeal.

(3.) A Company shall not be entitled to any relief under this section in respect of any expenses as to which relief may be claimed or allowed under section 35 of "The Finance Act, 1894," or section 69 of "The Finance (1909-10) Act, 1910," as extended by section 8 of "The Finance Act, 1914," by which enactments relief is conferred in respect of the cost of maintenance, repairs, insurance, or management of land or houses.

15.-(1.) Where an Assurance Company not having its head office in the United Kingdom, carries on life assurance business through any branch or agency in the United Kingdom, any income of the Company from the investments of its life assurance fund (excluding the annuity fund, if any), wherever received, shall, to the extent provided in this section, be deemed to be profits comprised in Schedule (D) of "The Income Tax Act, 1853," and shall be charged under the rules of the third case in section 100 of "The Income Tax Act, 1842."

(2.) Such portion only of the income from the investments of the life assurance fund shall be charged under this section as bears the same proportion to the total income from those investments as the amount of premiums received in that year from policy holders resident in the United Kingdom and from policy holders resident abroad, whose proposals were made to the Company at or through its office or agency in the United Kingdom bears to the total amount of the premiums received by the Company:

Provided that in the case of an Assurance Company having its head office in any British possession the Commissioners of Inland Revenue may, by regulation, substitute some basis other

than that prescribed by this section for the purpose of ascertaining the portion of the income from investments to be charged under this section as being income derived from business carried on in the United Kingdom.

(3.) The relief conferred by this Act in respect of expenses of management shall, in the case of a Company charged to income tax under this section, be calculated by reference to a like proportion of the total expenses of management of the Company for the year estimated in accordance with the provisions of this Act.

(4.) Every assessment under this section shall be made by the Special Commissioners as though the Company under the provisions of the Income Tax Acts had required the proceedings relating to the assessment to be had and taken before those Commissioners.

(5.) Where a Company has already been charged to income tax, by deduction or otherwise, in respect of its life assurance business, to an amount equal to or exceeding the charge under this section, no further charge shall be made under this section, and where a Company has already been so charged, but to a less amount, the charge under this section shall be proportionately reduced.

16. Section 5 of "The Finance Act, 1914" (which provides for the taxation of income in respect of foreign property), shallnot apply to income arising from the sources -pecified in that section of an Assurance Company so far as that income arises from the investments of the foreign life assurance fund of the Company, but a corresponding reduction shall be made in the relief granted under this Act in respect of expenses of management.

17. (1.) A person shall not be entitled under section 54 of "The Income Tax Act, 1853" (as amended by any subsequent enactment), to deduct from profits or gains

(".) In respect of any premium or other payment payable on a policy for securing a capital sum on death (whether in conjunction with any other benefit or not), more than 7 per cent. of the actual capital sum assured; and

(b.) In respect of any premiums or payments to which that section applies payable for securing any other benefits, more than 1007. in all;

and the relief-by way of repayment of tax under that section, or by way of deduction for the purposes of super-tax under paragraph (b) of sub-section (2) of section 66 of "The Finance (1909-10) Act, 1910," shall be correspondingly limited.

(2.) In calculating the deduction under this section, in respect of any premium or other payment payable on a policy for securing a capital sum on death, no account shall be taken of any sum payable on the happening of any other contingency or of the value of any premiums agreed to be returned, or of any benefit by way of bonus, or otherwise, which is to be or may be received

either before or after death. either by the person paying the premium or by any other person, and which is not the sum actually assured.

18. Where an assessment to income tax has become final and conclusive for the purposes of the income tax for any year, the assessment shall also be final and conclusive in estimating total income from all sources for the purposes of super-tax for the following year, or of any exemption, relief, or abatement under the Income Tax Acts, and no allowance or adjustment of liability on the ground of diminution of income or loss shall be taken into account in estimating the total income from all sources for such purposes unless that allowance or adjustme it has been previously made in respect of income tax on an application under the special provisions of the Income Tax Acts relating thereto.

19. Where it is proved to the satisfaction of the Special Commissioners

(a) That any individual, in connection with the present war, is or has been during any year serving as a member of any of the military or naval forces of the Crown, or in any work abroad of the British Red Cross Society, or the St. John Ambulance Association, or any other body with similar objects; and

(b.) That the total income of that individual from all sources for that year is or was less than his total income from all sources for the previous year:

the total income of that individual fron all sources for the purposes of super-tax for that year shall be taken to be his total income from all sources for that year, estimated in the same manner as, under section 66 of "The Finance (1909-10) Act, 1910." his total income for the previous year is required to be estimated, and where the tax has been paid repayment shall be made accordingly.

20. Section 13 of "The Finance Act, 1911" (Session 2), (which gives relief in respect of diminution of income due to war) shall apply to income tax (including super-tax) for the current income tax year. but with the substitution, as respects postponed super-tax, of the 1st day of January, 1917, for the 1st day of January, 1916, as the date on which the postponed super-tax is to become payable, and any payment of super-tax for the year beginning the 6th day of April, 1914, which has been postponed under that section may be further postponed until the 1st day of January, 1917, if the individual from whom the payment is due proves, to the satisfaction of the Special Commissioners, that his actual income from all sources for the current income tax year is or will be less than two-thirds of the income on which he was liable to be charged to super-tax for the year beginning on the 6th day of April 1914.

21.) The exemption from income tax chargeable under Schedules (C) and (D), conferred by section 36 of "The Finance Act, 1894," on penny savings banks and other banks for savings,