Session 2010 - 12
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Other Bills before Parliament


 
 

Notices of Amendments: 24 June 2011                     

2462

 

Finance (No. 3) Bill, continued

 
 

Value Added Tax (Change of Rate) Order 2011

 

Jonathan Edwards

 

NC9

 

To move the following Clause:—

 

‘(1)    

The Chancellor of the Exchequer shall make an order under the powers conferred

 

by sections 2(2) and 21(7) of the Value Added Tax Act 1994 that in section 2(1)

 

of the Value Added Tax Act 1994 (rate of VAT), the rate of tax charged by virtue

 

of that section shall be decreased by 12.5 per cent.

 

(2)    

In section 21(4) (value of imported goods) of the Value Added Tax Act 1994 for

 

“25” substitute “28.58”.

 

(3)    

This Order shall be known as The Value Added Tax (Change of Rate) Order 2011

 

and shall come into force on 30 August 2011.’.

 


 

VAT

 

Ed Balls

 

Ms Angela Eagle

 

Mr David Hanson

 

Chris Leslie

 

Kerry McCarthy

 

NC10

 

To move the following Clause:—

 

‘The Treasury shall, within three months of the passing of this Act, report to

 

Parliament its assessment of the impact of the rate of VAT on UK economic

 

growth.’.

 


 

High cost credit lending

 

Ed Balls

 

Ms Angela Eagle

 

Mr David Hanson

 

Chris Leslie

 

Kerry McCarthy

 

Stella Creasy

 

Total signatories: 10

 

NC11

 

To move the following Clause:—

 

‘The Government shall lay before Parliament a review of all taxation measures

 

contained in this Act that are applicable to those judged by the Financial Services

 

Authority (or its successor body) to engage in high cost credit lending. This

 

review shall consider the following matters—


 
 

Notices of Amendments: 24 June 2011                     

2463

 

Finance (No. 3) Bill, continued

 
 

(a)    

the nature of the high cost credit market and the proliferation of lending

 

practices which are detrimental to consumers and or competition in the

 

provision of credit to consumers;

 

(b)    

the impact that taxation could have on the provision of high cost credit in

 

the UK which is detrimental to consumers and or competition in the

 

provision of credit to consumers;

 

(c)    

whether changes to taxation could discourage lending in a manner which

 

is detrimental to consumers and undermines competition in the provision

 

of credit to consumers; and

 

(d)    

other measures relevant to the high cost credit lending sector that may

 

prevent consumer detriment.’.

 


 

Report on capital allowances

 

Nigel Mills

 

NC12

 

To move the following Clause:—

 

‘The Chancellor shall direct the Office of Tax Simplification to report by 31

 

March 2012 on the options for simplifying or replacing the capital allowances

 

regime with a view to ensuring businesses obtain tax relief for capital assets over

 

a period more closely matched to the useful life of those assets.’.

 


 

Windfall tax on nuclear power operators

 

Caroline Lucas

 

NC13

 

To move the following Clause:—

 

‘The Treasury shall by regulations recover all profits to operators of nuclear

 

power plants resulting from the Carbon Price Support Mechanism through a

 

windfall tax designed for that purpose.’.

 


 

Group filing for corporation tax

 

Nigel Mills

 

NC14

 

To move the following Clause:—

 

‘The Chancellor shall direct the Office of Tax Simplification to report by 31

 

March 2012 on the potential for the introduction of a consolidated corporation tax

 

filing for UK-resident companies meeting the current definition of a group for


 
 

Notices of Amendments: 24 June 2011                     

2464

 

Finance (No. 3) Bill, continued

 
 

corporation tax purposes, to include an assessment of the potential cost savings

 

for companies and HMRC, and the potential for reducing tax avoidance.’.

 


 

Value Added Tax (Reduced Rate) Order 2011

 

Hywel Williams

 

Jonathan Edwards

 

NC15

 

To move the following Clause:—

 

‘(1)    

The Chancellor of the Exchequer shall make an order to amend Schedule 7A of

 

the Value Added Tax Act 1994 (Charge at Reduced Rate) to include maintenance

 

and home improvement work as services for which VAT should be charged at a

 

reduced rate of 5 per cent..

 

(2)    

“Maintenance and home improvement work” means improvement work carried

 

out on a property which is—

 

(a)    

a single household dwelling,

 

(b)    

a multiple occupancy dwelling,

 

(c)    

a building, or part of a building, which, when it was last lived in, was used

 

for a relevant residential purpose and is classed as residential, or

 

(d)    

a building where a change to residential use has been granted.

 

(3)    

This Order shall be known as the the Value Added Tax (Reduced Rate) Order

 

2011 and shall come into force on 30 August 2011.’.

 


 

Ed Balls

 

Ms Angela Eagle

 

Mr David Hanson

 

Chris Leslie

 

Kerry McCarthy

 

10

 

Page  1,  line  9  [Clause  1],  at end insert—

 

‘(3)    

By 31 March 2012 the Office of Budget Responsibility, in consultation with

 

HMRC, will report to Parliament on the revenue of the 50 per cent. rate of income

 

tax and its impact on the UK economy.’.

 

John McDonnell

 

14

 

Page  1,  line  9  [Clause  1],  at end insert—

 

‘(3)    

A report on the impact of the current rates of income tax on inequality in the

 

United Kingdom, also taking into consideration all other direct and indirect taxes

 

including duties and excises, council taxes and mandatory charges for the use of

 

cars and televisions and making specific reference to the overall tax rate of

 

taxpayers grouped by decile in the United Kingdom and by each individual


 
 

Notices of Amendments: 24 June 2011                     

2465

 

Finance (No. 3) Bill, continued

 
 

constituent country shall be prepared by HM Treasury and laid before the House

 

of Commons not later than 1 December 2011.’.

 


 

John McDonnell

 

15

 

Page  2,  line  16  [Clause  4],  leave out ‘is treated as having come into force on 1 April

 

2011’ and insert ‘shall come into effect when legislation shall have been enacted requiring

 

that all public limited companies registered in the United Kingdom shall be required to

 

submit the arrangements for the payment of salaries and bonuses of their directors to a

 

binding vote of approval by their shareholders at an Annual General Meeting.’.

 

John McDonnell

 

20

 

Page  2,  line  16  [Clause  4],  leave out ‘is treated as having come into force on 1 April

 

2011’ and insert ‘shall come into effect when legislation shall have been enacted requiring

 

all public limited companies registered in the United Kingdom to publish the current

 

salaries and bonuses of their directors.’.

 


 

John McDonnell

 

16

 

Page  5,  line  8  [Clause  9],  leave out ‘on or after 6 April 2011’ and insert ‘when a

 

comprehensive report of HM Treasury on the impact of tax lost to HM Treasury as a result

 

of the striking off of companies from the Register of Companies, whether voluntarily or

 

as a result of the actions of the Registrar of Companies, is laid before this House with

 

recommendations being made on how the number of such companies struck off the

 

Register as a consequence of failure to comply with the requirements of the law can be

 

curtailed and how the resulting loss of taxation to the Exchequer can be minimised’.

 


 

John McDonnell

 

17

 

Page  27,  line  4  [Clause  42],  after ‘appoint’, insert ‘after a Report has been

 

submitted to the House of Commons detailing the number of EIS schemes previously

 

approved, their total cost in terms of tax relief, the number of jobs created by the

 

companies enjoying such relief and the number of companies that failed subsequent to

 

relief being granted allowing for an estimate to be made of the cost of each job created

 

under the terms of this scheme when compared to the cost of tax relief given.’.

 

Mr Tom Watson

 

9

 

Page  27,  line  35  [Clause  43],  at end insert—

 

‘(11A)    

In section 1052 in subsection (2) after paragraph (a) insert—

 

“(e)    

incurred on premises costs

 

(f)    

incurred on design costs


 
 

Notices of Amendments: 24 June 2011                     

2466

 

Finance (No. 3) Bill, continued

 
 

(g)    

incurred on patent, trade mark, registered design, copyright,

 

design right or plant breeder’s right (see section 1139)”.

 

(11B)    

After section 1142 add—

 

“1142A 

Premises costs

 

(1)    

In this part “premises costs” means rents and business rates costs of the

 

studio where R&D is undertaken.

 

1142B

Design costs

 

(1)    

In this Part “design costs” means—

 

(a)    

user interface costs,

 

(b)    

user testing costs,

 

(c)    

aesthetic costs,

 

(d)    

new business model costs.

 

(2)    

In subsection (1)(a) “user interface costs” means—

 

(a)    

costs occurred from designing the visual and functional

 

appearance of the application,

 

(b)    

costs occurred from designing the code that reacts to user inputs.

 

(3)    

In subsection (1)(b) “user testing costs” means—

 

(a)    

costs occurred during product testing.

 

(4)    

In subsection (1)(c) “aesthetic costs” means—

 

(a)    

costs occurred from the artistic design of the product.

 

(5)    

In subsection (1)(d) “new business model costs” means—

 

(a)    

marketing of building a new business monetisation model,

 

(b)    

marketing of testing a new business monetisation model.”’.

 


 

John McDonnell

 

18

 

Page  28,  line  14  [Clause  47],  at end insert ‘and shall have effect when a Report is

 

submitted to the House of Commons detailing progress made by HM Treasury in securing

 

powers to obtain information on the activities of UK resident taxpayers in tax havens,

 

progress made by the United Kingdom in securing rapid implementation of the proposed

 

changes to the European Union Savings Tax Directive and progress made in securing

 

information exchange under all tax information exchange agreements signed since 2005,

 

including the number of information exchanges made with each territory with which such

 

an agreement has been signed, the nature of the enquiry made in each case, the

 

approximate amount of tax involved and the success of the jurisdiction in question in

 

supplying the information requested.’.

 


 

John McDonnell

 

19

 

Page  42,  line  30  [Clause  73],  at end insert ‘and shall have effect when a

 

comprehensive report of HM Treasury on the potential for the introduction of a financial

 

transaction tax based upon an average rate of 0.05 per cent. applied to individuals and


 
 

Notices of Amendments: 24 June 2011                     

2467

 

Finance (No. 3) Bill, continued

 
 

institutions trading in financial products including stocks, bonds, currencies,

 

commodities, futures and options, is laid before this House.’.

 

Ed Balls

 

Ms Angela Eagle

 

Mr David Hanson

 

Chris Leslie

 

Kerry McCarthy

 

13

 

Page  42,  line  30  [Clause  73],  at end insert—

 

‘(2)    

The Chancellor of the Exchequer shall review the possibility of incorporating a

 

bank payroll tax within the bank levy and publish a report, within six months of

 

the passing of this Act, on how the additional revenue raised would be invested

 

to create new jobs and tackle unemployment.’.

 


 

Ed Balls

 

Ms Angela Eagle

 

Mr David Hanson

 

Chris Leslie

 

Kerry McCarthy

 

Nic Dakin

 

Total signatories: 8

 

Mike Weir

 

12

 

Page  45,  line  5  [Clause  78],  at end insert—

 

‘(2)    

The Schedule shall not come into force except as specified in subsection (3)

 

below.

 

(3)    

The Chancellor of the Exchequer shall bring the Schedule into force by order

 

within six months of the passing of this Act.

 

(4)    

A statutory instrument containing an order under subsection (3) shall be

 

accompanied by a report which details—

 

(a)    

any effective subsidy provided to, or additional profits accruing to,

 

operators of existing and new nuclear power stations as a result of the

 

provisions in the Schedule;

 

(b)    

the immediate impact of the provisions in the Schedule on consumers and

 

on fuel poverty;

 

(c)    

the immediate impact of the provisions in the Schedule on energy-using

 

manufacturing industries and on employment in those industries;

 

(d)    

the expected effect of the provisions in the Schedule on investment in

 

new renewable power generation and on investment in new nuclear

 

power generation;

 

(e)    

the measures that the Chancellor intends to adopt in a future Finance Bill

 

in order to recoup any effective subsidy to or additional profits accruing

 

to the nuclear industry as a result of the Schedule; and

 

(f)    

how the monies raised by those measures will be used to mitigate the

 

immediate impact of the Schedule on consumers and on manufacturing

 

industries and to encourage green investment.’.


 
 

Notices of Amendments: 24 June 2011                     

2468

 

Finance (No. 3) Bill, continued

 
 

Ian Swales

 

Tim Farron

 

21

 

Page  45,  line  5  [Clause  78],  at end insert—

 


 

‘The Schedule shall come into force on a date specified by the Treasury by an order made

 

by Statutory Instrument, which may not be made until an agreed packaged of mitigation

 

measures for energy-intensive industries has been laid before the House of Commons and

 

approved by a resolution of the House of Commons. The dates specified in paragraphs

 

8(3) and 9(5) of the Schedule shall be replaced by the date specified in the order under this

 

section if it is later.’.

 


 

Mr Chancellor of the Exchequer

 

1

 

Page  48,  line  16  [Clause  87],  leave out subsection (4).

 


 

Mr Chancellor of the Exchequer

 

22

 

Parliamentary Star    

Page  166  [Schedule  7],  leave out line 18 and insert ‘day specified in the election as the

 

day on which it takes effect (which must be later than the day on which the election is

 

made).’.

 

Mr Chancellor of the Exchequer

 

23

 

Parliamentary Star    

Page  166,  line  21  [Schedule  7],  leave out subsection (3) and insert—

 

‘(2A)    

An election under section 9A(2)(a) may be revoked by notice of the revocation

 

being given to an officer of Revenue and Customs before the election takes effect.

 

(3)    

Subject to that, an election has effect until immediately before—

 

(a)    

the day on which another election by X takes effect, or

 

(b)    

the day on which a revocation event occurs,

 

    

(whichever first occurs).’.

 

Mr Chancellor of the Exchequer

 

24

 

Parliamentary Star    

Page  166,  line  41  [Schedule  7],  at end insert—

 

‘(5A)    

Subsections (5B) and (5C) apply if a period of account of X (“the straddling

 

period of account”) begins before, and ends on or after, the day on which—

 

(a)    

an election under section 9A(2)(a) takes effect, or

 

(b)    

a revocation event occurs.

 

(5B)    

It is to be assumed, for the purposes of this Chapter, that the straddling period of

 

account consists of two separate periods of account—

 

(a)    

the first beginning with the straddling period of account and ending

 

immediately before that day, and

 

(b)    

the second beginning with that day and ending with the straddling period

 

of account,


 
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Revised 27 June 2011