CO-OPERATIVE SOCIETIES AND INCOME TAX
[To the Editor of the SPECTATOR.] Sut,—The reason why co-operative societies do not pay. Income Tax is that the Chancellor of the Exchequer of the day decided that the cost of settling reclaims would be more than the amount collected. If any member of a co-operative society is liable for Income Tax and fails to declare it he would receive no sympathy in a Court of Justice. And rightly so. A society of which I am a member has a member- ship of 35,000 and is just about to pay out as dividend and interest £47,000—an average of about £1 12s. 6d. per member. Large dividends are no guide as to the actual profits. The inem'bers of some societies- (notably in the north) desire large dividends at the expense of-the price, consequently paying very much more for their weekly goods.—I am, Sir, &c., - T. H. W.
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