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