Notwithstanding subsection (1) of section 22 of the Finance Act 1961, annuities payable under the Federal German Compensation Law for Public Service (B.W.G. öD) shall not be regarded as income for any income tax purposes, provided that any such annuity has been awarded and is paid on condition that the recipient thereof has renounced such further or other claim or claims as he might otherwise have possessed for tax-free compensation under BEG (Federal Compensation Law) for racial persecution and such exemption shall operate retrospectively from the date of the granting of such annuities.—[Mr. Gurden.]