70 INCOME TAX
He recovers—
£5. 4d £84
(1) Excess of tax over 3s. 9d. 67 10 0
(2) Abatement of £100 at 3s. 9d. 1815 0 86 5 0
Thus paying, net us we od w-- 93.180
But if he dies at the beginning of October, 1919,
leaving his estate to his widow, a claim can be made
by the executors in respect of the £300 accruing to
that date, and by the widow on the next £300. In
that case each claims to pay only on £300, less £120
abatement, at 3s. in the £, or £27, making a total
payment for the two of £54 instead of £93 15s., s0
saving £39 15s. (Wife’s allowance, insurance, etc.,
are purposely omitted in this calculation. They may,
of course, be claimed if circumstances permit.)
In rendering statements of income any interest
received in full should be returned on the sum
received in the previous year, not the amount
actually receivable in the year of assessment.
CONVERSION OF GOVERNMENT SECURITIES INTO 4 PER
CENT. VicTorRY BonDs, oR 4 PER CENT. FUNDING
LoAN, 1960-90, 53 PER CENT. EXCHEQUER
Bonps, 1925, ETC.
Where a taxpayer’s statement of total income for
1920-21 includes both—
(i.) interest received in the preceding year,
without deduction of tax, upon Government
securities which have been surrendered as
the equivalent of cash in payment for fully
paid allotments of 4 per cent. Victory Bonds
or 4 per cent. Funding Loan, 1960-90; and