Session 2012 - 13
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Other Bills before Parliament


 
 

Report Stage Proceedings: 3 July 2012                  

66

 

Finance Bill, continued

 
 

applies, consent for the approved alterations by a competent

 

body with the authority to approve alterations to such buildings,

 

or

 

(b)    

in any other case, consent under any provision of—

 

(i)    

Part 1 of the Planning (Listed Buildings and

 

Conservation Areas) Act 1990,

 

(ii)    

Part 1 of the Planning (Listed Buildings and

 

Conservation Areas) (Scotland) Act 1997,

 

(iii)    

Part 5 of the Planning (Northern Ireland) Order 1991,

 

(iv)    

Part 1 of the Ancient Monuments and Archaeological

 

Areas Act 1979, or

 

(v)    

Part 2 of the Historic Monuments and Archaeological

 

Objects (Northern Ireland) Order 1995.

 

    (10)  

The Notes of Group 6 apply in relation to this paragraph as they apply in

 

relation to that Group, except that in applying Notes (9), (10) and (11),

 

references to item 2 are to be read as references to sub-paragraph (4) of this

 

paragraph.’.

 


 

Mr Chancellor of the Exchequer

 

Agreed to  18

 

Page  589,  line  16  [Schedule  26],  leave out sub-paragraph (1).

 

Mr Chancellor of the Exchequer

 

Agreed to  19

 

Page  589,  line  24  [Schedule  26],  after ‘a supply’ insert ‘of a description specified in

 

paragraph 3’.

 

Mr Chancellor of the Exchequer

 

Agreed to  20

 

Page  589,  line  28  [Schedule  26],  leave out ‘the order’ and insert ‘the amendments

 

made by Schedule (Categorisation of supplies)’.

 



 
 

Report Stage Proceedings: 3 July 2012                  

67

 

Finance Bill, continued

 
 

New Clauses and New Schedules relating to the taxation of banks and

 

employees of banks

 

Bank bonus tax

 

Ed Balls

 

Rachel Reeves

 

Catherine McKinnell

 

Chris Leslie

 

Cathy Jamieson

 

Negatived on division  NC13

 

To move the following Clause:—

 

‘The Chancellor of the Exchequer shall review how a bank bonus tax could be

 

repeated and place a report in the library of the House of Commons by 1

 

September 2012 on how the revenue raised could be invested in a Real Jobs

 

Guarantee to create new jobs and tackle unemployment.’.

 


 

REMAINING NEW CLAUSES AND AMENDMENTS TO CLAUSES

 

Pension death benefits in higher education

 

Mr Frank Field

 

Not called  NC2

 

To move the following Clause:—

 

‘(1)    

Paragraph 15 of Schedule 28 to FA 2004 (meaning of “dependant”) is amended

 

as follows.

 

(2)    

In sub-paragraph (2)(a) at end insert—

 

    

“has reached that age and is studying full-time for a higher education

 

qualification in medicine, veterinary science or architecture or such other

 

vocational courses as the Treasury may prescribe by regulations, or”.’.

 


 

Bingo duty

 

Philip Davies

 

Not called  NC5

 

To move the following Clause:—

 

‘(1)    

BGDA 1981 is amended as follows.

 

(2)    

In section 17(1)(b) of BGDA 1981 (bingo duty chargeable at 20 per cent of bingo

 

promotion profits), for “20” substitute “15”.


 
 

Report Stage Proceedings: 3 July 2012                  

68

 

Finance Bill, continued

 
 

(3)    

The amendment made by subsection (2) has effect in relation to accounting

 

periods beginning on or after 30 April 2012.’.

 


 

Consultation on effect of Act and future Finance Bills on certain developing countries

 

Stephen Williams

 

Sheila Gilmore

 

Mark Durkan

 

Not called  NC6

 

To move the following Clause:—

 

‘With effect from the passing of this Act, HM Treasury shall consult the

 

Department for International Development on the impact of this Act and the

 

proposals in each succeeding Finance Bill on developing countries to which the

 

Department provides aid, and report to Parliament annually on the results of the

 

consultations.’.

 


 

General anti-tax avoidance principle

 

Mr Michael Meacher

 

Mark Durkan

 

Not called  NC7

 

To move the following Clause:—

 

‘That within two months of the granting of Royal assent to this Act, HM Revenue

 

and Customs shall report on progress on its consultation on its proposed general

 

anti-abuse rule.’.

 



 
 

Report Stage Proceedings: 3 July 2012                  

69

 

Finance Bill, continued

 
 

Impact of Budget measures on children, families and incentives to work

 

Ed Balls

 

Rachel Reeves

 

Catherine McKinnell

 

Chris Leslie

 

Cathy Jamieson

 

Mark Durkan

 

Not called  NC14

 

To move the following Clause:—

 

‘The Chancellor of the Exchequer shall review the impact of Budget measures

 

since 2010 on children, families and incentives to work, and place a copy of the

 

report in the Library of the House of Commons.’.

 


 

Mr Chancellor of the Exchequer

 

Agreed to  5

 

Page  120,  line  19  [Clause  208],  at end insert—

 

‘( )    

in subsection (1), after paragraph (c) insert “or,

 

(d)    

in a case where paragraphs (a), (b) and (d) of section

 

74A(1) are satisfied—

 

(i)    

it is a reversionary interest, in the relevant

 

settled property, to which the individual is

 

beneficially entitled, and

 

(ii)    

the individual has or is able to acquire (directly

 

or indirectly) another interest in that relevant

 

settled property.

 

    

Terms used in paragraph (d) have the same meaning as in section

 

74A.”.’.

 

Mr Chancellor of the Exchequer

 

Agreed to  6

 

Page  120,  line  23  [Clause  208],  leave out from beginning to end of line 30 on page

 

121 and insert—

 

‘“(3D)    

Where paragraphs (a) to (d) of section 74A(1) are satisfied, subsection

 

(3)(a) above does not apply at the time they are first satisfied or any later

 

time to make the relevant settled property (within the meaning of section

 

74A) excluded property.”.’.

 



 
 

Report Stage Proceedings: 3 July 2012                  

70

 

Finance Bill, continued

 
 

Mr Chancellor of the Exchequer

 

Agreed to  7

 

Page  121,  line  32  [Clause  208],  leave out from beginning to end of line 7 on page

 

122 and insert—

 

‘“74A

Arrangements involving acquisition of interest in settled property etc

 

(1)    

This section applies where—

 

(a)    

one or more persons enter into arrangements,

 

(b)    

in the course of the arrangements—

 

(i)    

an individual (“the individual”) domiciled in the United

 

Kingdom acquires or becomes able to acquire (directly

 

or indirectly) an interest in property comprised in a

 

settlement (“the relevant settled property”), and

 

(ii)    

consideration in money or money’s worth is given by

 

one or more of the persons mentioned in paragraph (a)

 

(whether or not in connection with the acquisition of that

 

interest or the individual becoming able to acquire it),

 

(c)    

there is a relevant reduction in the value of the individual’s

 

estate, and

 

(d)    

condition A or condition B is met.

 

(2)    

Condition A is that—

 

(a)    

the settlor was not domiciled in the United Kingdom at the time

 

the settlement was made, and

 

(b)    

the relevant settled property is situated outside the United

 

Kingdom at any time during the course of the arrangements.

 

(3)    

Condition B is that—

 

(a)    

the settlor was not an individual or a close company at the time

 

the settlement was made, and

 

(b)    

condition A is not met.’.

 


 

Mr Chancellor of the Exchequer

 

Agreed to  8

 

Page  123  [Clause  208],  leave out line 15 and insert—

 

‘74C  

Interpretation of sections 74A and 74B

 

(1)    

Subsections (2) to (4) have effect for the purposes of sections 74A and

 

74B.

 

(2)    

An individual has an interest in property comprised in a settlement if—

 

(a)    

the property, or any derived property, is or will or may become

 

payable to, or applicable for the benefit of—

 

(i)    

the individual,

 

(ii)    

the individual’s spouse or civil partner, or

 

(iii)    

a close company in relation to which the individual or

 

the individual’s spouse or civil partner is a participator

 

or a company which is a 51% subsidiary of such a close

 

company,

 

    

in any circumstances whatsoever, or


 
 

Report Stage Proceedings: 3 July 2012                  

71

 

Finance Bill, continued

 
 

(b)    

a person within sub-paragraph (i), (ii) or (iii) of paragraph (a)

 

enjoys a benefit deriving (directly or indirectly) from the

 

property or any derived property.

 

(3)    

A “relevant reduction” in the value of the individual’s estate occurs—

 

(a)    

if and when the value of the individual’s estate first becomes less

 

than it would have been in the absence of the arrangements, and

 

(b)    

on each subsequent occasion when the value of that estate

 

becomes less than it would have been in the absence of the

 

arrangements and that difference in value is greater than the sum

 

of any previous relevant reductions.

 

(4)    

The amount of a relevant reduction is—

 

(a)    

in the case of a reduction within subsection (3)(a), the difference

 

between the value of the estate and its value in the absence of the

 

arrangements, and

 

(b)    

in the case of a reduction within subsection (3)(b), the amount by

 

which the difference in value mentioned in that provision

 

exceeds the sum of any previous relevant reductions.

 

(5)    

In sections 74A and 74B and this section—

 

“arrangements” includes any scheme, transaction or series of transactions,

 

agreement or understanding, whether or not legally enforceable, and any

 

associated operations;

 

“close company” has the meaning given in section 102;

 

“derived property”, in relation to any property, means—

 

(a)    

income from that property,

 

(b)    

property directly or indirectly representing—

 

(i)    

proceeds of that property, or

 

(ii)    

proceeds of income from that property, or

 

(c)    

income from property which is derived property by virtue of

 

paragraph (b);

 

“operation” includes an omission;

 

“participator” has the meaning given in section 102;

 

“the relevant time” means—

 

(d)    

the time the relevant reduction occurs, or

 

(e)    

if later, the time section 74A first applied;

 

“51% subsidiary” has the same meaning as in the Corporation Tax Acts (see

 

Chapter 3 of Part 24 of the Corporation Tax Act 2010).”.’.

 

Mr Chancellor of the Exchequer

 

Agreed to  9

 

Page  123  [Clause  208],  leave out lines to 17 to 22 and insert—

 

‘“(4A)    

Where—

 

(a)    

a charge to tax arises under or by virtue of section 74A, or

 

(b)    

in a case where paragraphs (a) to (d) of section 74A are satisfied, a charge

 

to tax arises under section 64 or 65 in respect of the relevant settled

 

property (within the meaning of section 74A),

 

    

subsection (1) of this section has effect as if the persons listed in that subsection

 

included the individual mentioned in section 74A(1)(b)(i).”.’.


 
 

Report Stage Proceedings: 3 July 2012                  

72

 

Finance Bill, continued

 
 

Mr Chancellor of the Exchequer

 

Agreed to  10

 

Page  123,  line  23  [Clause  208],  leave out subsections (5) and (6) and insert—

 

‘(5)    

The amendments made by this section are treated as having come into force on

 

20 June 2012 and have effect in relation to arrangements entered into on or after

 

that day.’.

 


 

REMAINING NEW SCHEDULES AND AMENDMENTS TO SCHEDULES

 

Mr Chancellor of the Exchequer

 

Agreed to  4

 

Page  550,  line  41  [Schedule  23],  leave out from ‘subsection’ to end of line 8 on

 

page 551 and insert ‘(5) insert—

 

“(5A)    

In relation to the carriage of a chargeable passenger on an aircraft to

 

which section 30(4F) applies—

 

(a)    

if the rate which (apart from this subsection) would apply is

 

the rate set for the purposes of subsection (3)(a) or (b), the

 

following rate is to apply instead—

 

(i)    

the rate set by an Act of the Northern Ireland

 

Assembly for the purposes of this paragraph, or

 

(ii)    

if no rate is so set for the purposes of this paragraph,

 

a rate equal to twice the rate set for the purposes of

 

subsection (3)(b),

 

(b)    

if the rate which (apart from this subsection) would apply is

 

the rate set for the purposes of subsection (4)(a) or (b), the

 

following rate is to apply instead—

 

(i)    

the rate set by an Act of the Northern Ireland

 

Assembly for the purposes of this paragraph, or

 

(ii)    

if no rate is so set for the purposes of this paragraph,

 

a rate equal to twice the rate set for the purposes of

 

subsection (4)(b), and

 

(c)    

if the rate which (apart from this subsection) would apply is

 

the rate set for the purposes of subsection (5)(a) or (b), the

 

following rate is to apply instead—

 

(i)    

the rate set by an Act of the Northern Ireland

 

Assembly for the purposes of this paragraph, or

 

(ii)    

if no rate is so set for the purposes of this paragraph,

 

a rate equal to twice the rate set for the purposes of

 

subsection (5)(b).”.’.

 



 
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Revised 4 July 2012