30 JANUARY 1932, Page 16

CO-OPERATORS AND THE INCOME TAX

[To the Editor of the SPECTATOR.] SIR,—The writer of your " News of the Week," in dealing with the question of Income Tax on co-operative store profits, assumes that these profits are the result solely of sales made to members. Is it not the case that to a large extent the profits are made on sales to non-members, viz, the general public ? co-op. stores are public shops, in the profits of which members only share. Should they not be confined to dealing with their own members only or else pay tax on their profits as