H.—40,

(b) Distribution.

N.B. —The distribution of petrol-tax amongst boroughs in accordance with section 9 (1) (b) of the Motor-spirits Taxation Act, 1927, for the year ended 31st March, 1937, together with cumulative figures showing the total distribution from the inception of the petrol-tax up to the 31st March, 1937, is given in Table No, 4 in the Appendix. (c) Refunds of Petrol-tax. Refunding of Duty on Motor-spirits. In last year's report attention was drawn to the fact that the number of claims for refunds of duty on motor-spirits had a rising tendency each year. The position was reversed during the year 1936 as 3,105 less claims were authorized for payment. Notwithstanding this decrease the value of the refunds made increased by £12,506. The increase in the amount refunded is attributed to the large claims for refunds made by owners of aircraft and to the increased use of tractors on. farms. The decline in the number of claims is due to a considerable number of farmers installing electric power to operate their milking-machinery plants and to the increased use of high-compression engines using oil fuel. The numbers of claims handled and the total amount refunded during the period 1928-36 are set out hereunder :—

The particulars of the claims paid during each of the quarterly periods in 1936 are as follows

Daring the calendar year 1936, 2,938 claims were made during the second month following the close of the respective quarterly periods, and they were subject to a reduction of 10 per cent, in accordance with the provisions of section 7 of the Finance Act, 1933 (No. 2). Refunds are made at the rate of 6d. per gallon on all motor-spirits consumed for purposes other than as fuel for motor-vehicles in respect of which annual license fees are payable. Section 13 of the Customs Acts Amendment Act, 1934, authorizes an additional refund of 2d. per gallon to be made on motor-spirits consumed in aircraft and in vessels used exclusively in the fishing industry for commercial purposes.

11

Year ended 31st March, JConsolidated Fund. Ma Authorities. Total. £ £ £ £ 1928 .. 4,654 130,461 11,345 146,460 1929 .. 16,458 730,414 63,514 810,386 1930 . . .. 34,567 873,370 75,945 983,882 1931 .. 63,154 1,219,209 80,841 1,363,204 1932 .. .. 321,685 1,231,202 107,061 1,659,948 1933 1,122,147 644,126 99,489 1,865,762 1934 .. .. .. 1,579,962 669,868 101,728 2,351,558 1935 .. .. 1,510,338 970,506 112,370 2,593,214 1936 .. .. .. 1,321,066 1,449,125 126,011 2,896,202 1937 .. .. .. 1,524,459 1,697,942 147,647 3,370,048 Total 7,498,490 9,616,223 925,951 18,040,664

Year. Number of Claims. Amount refunded. £ 1928 11,101 34,299 1929 .. •• •• 19,814 60,834 1930 .. •• •• 25,797 83,741 1931 37,116 132,150 1932 45,986 137,387 1933 .. .. .. 49,265 138,194 1934 .. .. .. 52,718 155,714 1935 .. .... .. 55,447 163,884 1936 .. 52,342 176,390

Quarter. I Number of Claims. Amount refunded. £ s. d. March .. .. 14,481 47,083 9 11 June 13,974 50,201 4 2 September .. .. •• •• 11,618 40,086 14 0 December.. .. .. •• •• 12,269 39,018 12 6