asked the Chancellor of the Exchequer whether his attention has been drawn to the fact that some of His Majesty's Inspectors of Taxes are charging Income Tax on the capital value of war damage value payments; whether he is aware that this is contrary to the undertakings given when the level of value payments was finally determined; and whether he will issue instructions for this practice to cease.

War damage value payments do not constitute income for Income Tax purposes. If my hon. Friend will send me particulars of the cases to which she refers, I will have inquiries made.