House of Commons Amendments

Session 2012 - 13
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Other Bills before Parliament

3

House of Commons

Notices of Amendments

given up to and including

Friday 12 October 2012

New Amendments handed in are marked thus

Amendments which will comply with the required notice period at their next appearance

Public Bill Committee

Small Charitable Donations Bill

Sajid Javid

That, subject to the discretion of the Chair, any written evidence received by the

Committee shall be reported to the House for publication.

Sajid Javid

That, at this and any subsequent meeting at which oral evidence is to be heard, the

Committee shall sit in private until the witnesses are admitted.

Sajid Javid

1


Clause  2,  page  2,  line  27,  at end insert—

‘(c)
a penalty is not to be regarded as having been imposed if all of the penalty

is suspended (or the decision that a penalty is payable is cancelled on

appeal); but this does not apply to a suspended penalty that subsequently

becomes payable.’.

Member’s explanatory statement

This amendment provides that a suspended penalty is not to be regarded as imposed for the pur

poses of the rules about the meaning of “eligible charity” unless it subsequently becomes payable.

Sajid Javid

2


Clause  5,  page  3,  line  30,  leave out subsection (4) and insert—

Notices of Amendments: 12 October 2012
4

Small Charitable Donations Bill, continued

‘(4)
In the application of section 993 for the purposes of subsection (3)—

(a)
a charity that is a trust is to be treated as if it were a company (and

accordingly a person), including in this subsection;

(b)
a charity that is a trust has “control” of another person if the trustees (in

their capacity as trustees of the trust) have, or any of them has, control of

the person;

(c)
a person (other than a charity regulator) has “control” of a charity that is

a trust if—

(i)
the person is a trustee of the charity and some or all of the powers

of the trustees of the charity could be exercised by the person

acting alone or by the person acting together with any other

persons who are trustees of the charity and who are connected

with the person,

(ii)
the person, alone or together with other persons, has power to

appoint or remove a trustee of the charity, or

(iii)
the person, alone or together with other persons, has any power

of approval or direction in relation to the carrying out by the

trustees of any of their functions.

(4A)
A charity that is a trust is also to be regarded as connected with another charity

that is a trust at a time for the purposes of this section if, at that time, at least half

of the trustees of one of the charities are—

(a)
trustees of the other charity,

(b)
persons who are connected with persons who are trustees of the other

charity, or

(c)
a combination of both.

(4B)
In determining whether a person is connected with another person for the

purposes of subsection (4)(c)(i) or (4A)(b), apply section 993 of the Income Tax

Act 2007, with the omission of subsection (3) of that section (and without the

modifications in subsection (4) above).’.

Member’s explanatory statement

This amendment changes the rules for determining whether a charity is connected with another

charity for the purposes of the Bill. This change is mainly intended to secure that two charitable

trusts will not normally be connected merely because they share a single common trustee.

Sajid Javid

3


Clause  5,  page  3,  line  38,  at end insert—

‘( )
The Treasury may by order amend this Act so as to change the circumstances in

which a charity is connected with another charity in a tax year for the purposes of

the Act.’.

Member’s explanatory statement

This amendment gives the Treasury power by order to amend the meaning of “connected chari

ties” for the purposes of the Bill. Such an order would be made by statutory instrument subject to

the draft affirmative procedure in this House (see clause 16).

Sajid Javid

4


Clause  6,  page  4,  line  11,  after ‘year’ insert ‘by group members’.

Member’s explanatory statement

See Member’s explanatory statement for amendment 6.

Notices of Amendments: 12 October 2012
5

Small Charitable Donations Bill, continued

Sajid Javid

5


Clause  6,  page  4,  line  20,  after ‘year’ insert ‘by group members’.

Member’s explanatory statement

See Member’s explanatory statement for amendment 6.

Sajid Javid

6


Clause  6,  page  4,  line  21,  at end insert—

‘( )
“Group member”, in relation to a charitable activity run by a charity in a

community building, means a member of the group of people with whom the

charity is carrying out the activity.’.

Member’s explanatory statement

This amendment, and amendments 4 and 5, have the effect that small donations collected in com

munity buildings do not count towards the “community building amount” for the purposes of

clause 6 unless they are collected from persons with whom the charity is carrying out the charita

ble activity.

Sajid Javid

7


Clause  7,  page  4,  line  26,  leave out from ‘if’ to ‘(and’ in line 28 and insert ‘, on 6 or

more occasions in the tax year—

(a)
it carries out a charitable activity with a group of people in the

community building, at least 10 of whom are in the class of people for

whose benefit the charitable activity is being carried out,

(b)
the activity is of a kind that the charity makes available to the public or a

section of the public, and

(c)
none of the group is required to pay to access the building, or the part of

the building, in which the activity is carried out;’.

Member’s explanatory statement

This amendment alters the definition of “running” charitable activities in a community building

so that, in particular, the activity must be of a kind made available to the public and none of the

group may be required to pay for access to the building or the part of the building.

Sajid Javid

8


Clause  7,  page  4,  line  31,  leave out paragraph (a).

Member’s explanatory statement

This amendment, with amendment 7, have the effect that staff of a charity can count towards the

group of 10 or more people required for a charity to be “running” charitable activities in a com

munity building, as long as the staff are beneficiaries of the activity.

Sajid Javid

9


Clause  7,  page  4,  line  35,  leave out subsection (3).

Member’s explanatory statement

This amendment is consequential on amendment 8.

Notices of Amendments: 12 October 2012
6

Small Charitable Donations Bill, continued

Sajid Javid

10


Clause  7,  page  4,  leave out line 42 and insert ‘subsection (1)’.

Member’s explanatory statement

This amendment is consequential on amendment 8.

Sajid Javid

11


Clause  8,  page  5,  line  9,  leave out from ‘include’ to end of line 10 and insert ‘any

parts of a building excluded by subsection (1A) or (1B)’.

Member’s explanatory statement

This amendment, with amendment 12, enables parts of a commercial building to qualify as a com

munity building in certain circumstances. Broadly-speaking, the part must be available for use ex

clusively by a charity at the relevant time, and its commercial use must not be the sale or supply

of goods.

Sajid Javid

12


Clause  8,  page  5,  line  10,  at end insert—

‘(1A)
Any parts of a building that are used wholly or mainly for residential purposes or

the sale or supply of goods are excluded.

(1B)
Any parts of a building that are used wholly or mainly for other commercial

purposes are excluded, except at any times when—

(a)
a charity is carrying out a charitable activity in those parts, and

(b)
the parts are available for use exclusively by the charity in carrying out

the activity.’.

Member’s explanatory statement

See Member’s explanatory statement for amendment 11.

Order of the House [4 September 2012]

That the following provisions shall apply to the Small Charitable Donations Bill—

Committal

1.
The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

2.
Proceedings in the Public Bill Committee shall (so far as not previously

concluded) be brought to a conclusion on Tuesday 30 October 2012.

3.
The Public Bill Committee shall have leave to sit twice on the first day on

which it meets.

Consideration and Third Reading

4.
Proceedings on Consideration shall (so far as not previously concluded) be

brought to a conclusion one hour before the moment of interruption on the

day on which those proceedings are commenced.

5.
Proceedings on Third Reading shall (so far as not previously concluded) be

brought to a conclusion at the moment of interruption on that day.

6.
Standing Order No. 83B (Programming committees) shall not apply to

Notices of Amendments: 12 October 2012
7

Small Charitable Donations Bill, continued

proceedings on Consideration and Third Reading.

Other proceedings

7.
Any other proceedings on the Bill (including any proceedings on

consideration of Lords Amendments or on any further messages from the

Lords) may be programmed.



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