I move that the Dáil agree with the Committee in Resolution No. 3.
Committee on Finance. - Resolution No. 3—Corporation Profits Tax.
This Resolution deals with the corporation profits tax. When the Minister was speaking he recalled some remarks of Deputy Cosgrave when he spoke on that matter on the day the Budget was introduced. The Minister suggested that Deputy Cosgrave was entirely wrong when he indicated that the Minister did not get the revenue out of his new corporation profits tax which he expected. The White Paper of receipts and expenditure that was issued immediately before the Budget of 1941, where an estimate was given of the receipts and expenditure for the year ending March, 1942, indicated that it was estimated that the corporation profits tax, as it then stood, would bring in £648,000. The Minister then indicated that he was putting on a tax that would bring in an additional £1,400,000. He agreed, after subsequent discussion, to reduce that by £500,000; so that he expected then to get from the new taxation £900,000 in addition to the £648,000 which he indicated as the estimate of receipts at the old rate. That would bring in £1,548,000. According to the White Paper published before the Budget of the actual receipts for the year ending March, 1942, the receipts from corporation profits tax were £910,000. What Deputy Cosgrave was pointing out was that, instead of getting £1,548,000, which he was expecting as a result of the old rate of taxation plus the new, the Minister got £910,000, and that, therefore, the receipts from the general corporation profits tax were down by £638,000.
If that is not correct, I think we should get a clearer explanation of than the Minister gave us when speaking, because it is important that we should have a clear view of the trend of revenue.
I am not disputing what Deputy Mulcahy says that I expected to get. But I want to modify what he said. I expected to get from the new tax, including the old corporation profits tax—the new excess corporation profits tax wiped out the corporation profits tax——
It did not wipe out the other.
It amalgamated them. It is all the one tax.
No.
I estimated to get £1,400,000 additional out of the joint tax. I got £910,000 in all. The Deputy is trying to point out that I got £270,000 or £280,000 out of the new tax. Before the discussion on the Bill I suggested to the House that I expected to get roughly £1,500,000. Deputy Mulcahy quoted the figure.
£1,548,000.
That is what I anticipated I would get from the corporation profits tax with the gain on income-tax. I got £910,000 from corporation profits tax.
Out of the whole of them?
On the whole.
Therefore the Minister was £638,000 down.
That was because of the concessions.
No.
I lost that much because of the concessions. I anticipated to lose £500,000. That is what I said.
I should like to direct the Minister's attention to the fact that the White Paper issued for the year ending 31st March, 1942, gave £648,000 as what he estimated at the old rate. If the Minister refers to the table explanatory of the Budget for 1941 he will see that his expected tax revenue was £26,045,000, which included £648,000 that he expected from the corporation profits tax at the old rate. I am taking off the £500,000 from the £1,400,000 and I am saying that the Minister expected to get an additional £900,000. The table explanatory of the Budget added on an additional £1,400,000 to the £648,000 which was included in the tax revenue, and I would ask the Minister, in the light of what he said, to refer again to the White Paper issued before the last Budget and the White Paper issued this year, and to the table explanatory of the Budget issued in 1941, because what Deputy Cosgrave said is perfectly correct, and it is important that we should understand what the trend of the revenue really was.
The Deputy can take it that Deputy Cosgrave was wrong.
The Minister can take it that the figures he put before this House are not to be added and subtracted according to the ordinary methods of addition and subtraction.
Not according to the financial methods of Deputy Cosgrave.
This elucidates no point in connection with Resolution No. 3.
It is much too important a matter to pass over.
We will have it again when the Bill comes under consideration, and perhaps Deputy Cosgrave will be here to defend himself.
The first thing the Minister has to do is to refer to his own paper and improve his addition and subtraction.
I will do that.
Question put and agreed to.
Financial Resolutions No. 4 and No. 5 reported and agreed to.
I move that the Dáil agree with the Committee in Financial Resolution No. 6.
I have similar remarks to make on the subject of tobacco, but I will spare the Minister, as he appears to be in such an unreceptive mood to-night. I shall have to ask him to go back again to the study of addition and subtraction.
Question put and agreed to.