(814) 3I567/59J 2.200.000 1/57 JC&SUJ Cp644/229 (reg i mint) CODE 5-34-0. MINUTE SHEET. Reference......,— /A hurTi ' / ^ This seems quite satisfactory as far as it goes. But I am not entirely clear whether it embraces customs • drawback in respect of payments already made since July 1937. (see para.6 of 215/20/1938). I fancy not. Nor, on looking at the papers again, am I any longer clear as to the question of fuel exemption. Group-Captain Pirie in his minute of June 13th (on 116/11/1939) mentions a considerable "duty" item. But presumably I.A. do not import fuel but purchase it in the U.S. and there is no import duty as in the U.K.. Is the reference therefore to an export dutyT In br- other words what precisely isjthat I.A. would wish to be exempt from? June 16th 1^39. ^JOVER. T~2 (Hi.Ufa This is most satisfactory*Can we now write back to the State Deptjpresuming that their decision is retro-active,as P.A,A. have been exempted from paying Customs duty since July 1937;and that gasoline and oil Federal Taxes (amounting to f\ a .gallon on gasoline and #4 a gallon on lubricating oil) are also covered? P• A • A. are exempted from our very heavy taxes on petrol and oil* aq June 19th A.A. Let us then send a copy of this note now to the F.0# with a short coverer pointing out that it is satisfactory as far as it goes expressly tut that it does not appear/to cover the two points of a) drawback from July 1937 and b) taxation on fuel and oil and that we propos|e to approach the S.D. again to make sure that they intend that it shouldec^v £j. ^dfk a) fcca- u« ifetefi "™ Hi Cu^W /Ua. f^l^rVu^^ ¦ /(Sfaf Junej8©tt 19*7^ ^ (Cvr