Letter: No tax break for the Prince of Wales

Commander Richard Aylard
Tuesday 26 April 1994 18:02 EDT
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Sir: The Prince of Wales did not receive a 'tax break' prior to the new arrangements under which he will pay income tax ('Major accused of 'royal tax break' ', 26 April).

Over a number of years, a total of pounds 833,037 which was properly due to the Prince of Wales had been retained, by agreement, in the Duchy as 'working capital' and used in the running of the estate. The introduction of taxation required a separation between the finances of the Duchy and those of His Royal Highness.

The pounds 833,037 was therefore paid over by the Duchy. Since this money had accumulated during the time of the voluntary contribution arrangements, when the Prince of Wales received it he made a payment of 25 per cent of the total to the Treasury in accordance with those arrangements.

These figures were, of course, declared in the 1992 Duchy of Cornwall accounts laid in Parliament in June 1993.

Yours sincerely,

RICHARD AYLARD

St James's Palace

London, SW1

26 April

The writer is Private Secretary and Treasurer to the Prince of Wales.

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