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'India Rubber' was recorded March 12th 1995 at Chipping Norton Studios:
Radiohead - 'Dear Diary'
During the March tour of this year, Radiohead were asked to ‘Tear out’ a page of their diaries and submit these to a National daily newspaper. For whatever reason, they remained unused until now. Radiohead World Service are proud to present...

CHIPPING NORTON - SUNDAY 12TH MARCH. . .
Ah! A day of rest for most but another day of "rock" for Radiohead! We arrive in the sleepy Cotswold town of Chipping Norton, greeted by the soft pealing of church bells, and the gentle baaing of spring-time sheep dotted about the green rolling hills. We're here to record a new b-side "India Rubber" to accompany our next single, "Fake Plastic Trees". Greeted by Richard and Shirley Vernon at Chipping Norton Studio (where we did "Pablo Honey"), we set about shaping our little lump of sonic clay until in becomes a Barry White-meets-Dinosaur Jr. ‘behemoth’ of a song. Satisfied, we repair for dinner under the watchful sheen of gold records by Bay City Rollers Barbara Dickson and, er, us. To think!
Next morning, our tour manager, Tim, leads us gently away. Damn! No time to visit Ronnie Barker and his antique shop!
COLIN GREENWOOD (BASS)

Thom has called this song "experimental", messing around with synthesizers and voices. When asked on the official RH message board about who was laughing at the end, Colin replied, "it's jonny laughing at one of his own jokes as usual that he's nicked from stephen fry or some radio four light ents programme from the last thirty years."
Regarding Johnny's laugh: note the production credit for Barry Hammond - he always worked out of Chipping Norton studios, where he also did 'Pop Is Dead'. If you google him you'll find references from the 70s to the 90s of his habit of surreptitiously recording the whole session on tape, and then playing back any amusing bits of banter etc. to the band later, which is presumably where the laugh came from!