House of Commons Amendments

Session 2013 - 14
Internet Publications
Other Bills before Parliament

147

House of Commons

Tuesday 18 June 2013

Public Bill Committee

New Amendments handed in are marked thus

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

Finance Bill

(Except Clauses 1, 3, 16, 183, 184 and 200 to 212; Schedules 3 and 41; any new Clauses, and

any new Schedules, first appearing on the Order Paper not later than Tuesday 16 April 2013

and relating to tax measures concerning housing; and any new Clauses, and any new

Schedules, relating to value added tax or the bank levy or air passenger duty or the subject

matter of Clauses 1 and 16 and Schedule 3 or the subject matter of Clause 3 or the subject

matter of Clauses 203 to 212 and Schedule 41)

Note

The Amendments have been arranged in accordance with the Order of the

Committee [23 April 2013].

Mr David Gauke

60

Clause  192,  page  113,  line  26,  after ‘rights)’ insert—

‘(a)
has effect subject to the amendment in subsection (1A) in relation to

agreements for the grant or assignment of an option that are entered into

during the period beginning with 21 March 2012 and ending immediately

before the day on which this Act is passed, and’.

Mr David Gauke

61

Clause  192,  page  113,  line  28,  leave out from ‘into’ to end of line 29 and insert

‘during that period’.

Mr David Gauke

62

Clause  192,  page  113,  line  29,  at end insert—

‘(1A)
At the end of subsection (1A) insert “or an agreement for the future grant or

assignment of an option”.’.

Public Bill Committee: 18 June 2013
148

Finance Bill, continued

Mr David Gauke

63

Clause  192,  page  114,  line  30,  at end insert—

‘(6A)
Subsections (8) to (10) apply where—

(a)
as a result of subsection (1A) of this section, section 45 of FA 2003 does

not apply in relation to a contract of the kind mentioned in subsection

(1)(a) of that section (“the original contract”),

(b)
the original contract was substantially performed or completed (or, in a

case that would have fallen within subsection (5) of that section,

substantially performed or completed so far as relating to the relevant

part of the subject-matter of the original contract) at the same time as, and

in connection with, the substantial performance or completion of an

agreement for the grant or assignment of an option, and

(c)
that time fell before the day on which this Act is passed.’.

Mr David Gauke

64

Clause  192,  page  114,  line  31,  leave out from beginning to ‘apply’ and insert

‘Subsections (8) to (10) also’.

Mr David Gauke

103

Schedule  39,  page  465,  line  12,  leave out from beginning to ‘Sub-paragraph’ in

line 13 and insert—

  ‘(2A)
After that sub-paragraph insert—

“(3A)
But no tax or additional tax is payable in respect of a transaction as

a result of the continuation of a lease for a period (or further period)

of one year under sub-paragraph (2) if, during that one year period,

the tenant under the lease is granted a new lease of the same or

substantially the same premises in circumstances where paragraph

9A applies.”

      (3)
After sub-paragraph (3A) insert—

“(3B)
’.

Mr David Gauke

104

Schedule  39,  page  465,  line  40,  leave out ‘fixed’.

Mr David Gauke

105

Schedule  39,  page  465,  line  42,  leave out ‘fixed’.

Mr David Gauke

106

Schedule  39,  page  468,  line  20,  after ‘2(2),’ insert ‘(2A),’.

Public Bill Committee: 18 June 2013
149

Finance Bill, continued

Ed Balls

Cathy Jamieson

Chris Leslie

Catherine McKinnell

108

Clause  198,  page  116,  line  17,  at end add—

‘(2)
The Chancellor of the Exchequer shall within one year of the passing of this Act

lay a report before Parliament on the cumulative impact of the Carbon Price

Support rates under Schedule 40 to this Act and changes to the EU Emissions

Trading Scheme on—

(a)
the Government’s commitment to reducing carbon emissions, and

(b)
jobs and growth.’.

Ed Balls

Cathy Jamieson

Catherine McKinnell

Chris Leslie

148

Clause  198,  page  116,  line  17,  at end add—

‘(2)
The Chancellor of the Exchequer shall within one year of the passing of this Act

provide a report to Parliament on the cumulative impact of the Carbon Price

Support rates under Schedule 40 to this Act and changes to the EU Emissions

Trading Scheme on the Government’s commitment to reducing carbon

emissions.’.

Mr David Gauke

110

Schedule  42,  page  486,  line  27,  leave out ‘or payment’ and insert ‘, payment or

increased pension’.

Mr David Gauke

111

Schedule  42,  page  486,  line  31,  after ‘72(8)’ insert ‘, 104(3)’.

Mr David Gauke

112

Schedule  42,  page  486,  line  32,  after ‘72(8)’ insert ‘, 104(3)’.

Mr David Gauke

113

Schedule  42,  page  486,  line  37,  leave out ‘or payment’ and insert ‘, payment or

increased pension’.

Mr David Gauke

114

Schedule  42,  page  486,  line  42,  at end insert—

‘(iv)
articles 61 and 64 of the Personal Injuries (Civilians) Scheme

1983 (S.I. 1983/686),

(v)
article 53 of the Naval, Military and Air Forces etc. (Disablement

and Death) Service Pensions Order 2006 (S.I. 2006/606), and

Public Bill Committee: 18 June 2013
150

Finance Bill, continued

(vi)
article 42 of the Armed Forces and Reserve Forces

(Compensation Scheme) Order 2011 (S.I. 2011/517).’.

Mr David Gauke

115

Schedule  42,  page  487,  line  44,  at end insert—

    ‘(7)
In the heading, for the words following “person” substitute “expected to fall

within the definition of “disabled person”’.

Mr David Gauke

116

Schedule  42,  page  488,  line  14,  at end insert—

‘9A(1)
In section 89B (meaning of “disabled person’s interest”), in subsection (1)(c)

after “2006” insert “if the trusts on which the settled property is held secure

that, if any of the settled property is applied during the disabled person’s life

for the benefit of a beneficiary, it is applied for the benefit of the disabled

person”.

      (2)
After that section insert—

“89C
Disabled person’s interest: powers of advancement etc

(1)
The trusts on which settled property is held are not to be treated for the

purposes of section 89B(1)(c) or (d) (meaning of “disabled person’s

interest”: cases involving an interest in possession) as failing to secure

that the settled property is applied for the benefit of a beneficiary by

reason only of—

(a)
the trustees’ having powers that enable them to apply

otherwise than for the benefit of the beneficiary amounts

(whether consisting of income or capital, or both) not

exceeding the annual limit,

(b)
the trustees’ having the powers conferred by section 32 of the

Trustee Act 1925 (powers of advancement),

(c)
the trustees’ having those powers but free from, or subject to

a less restrictive limitation than, the limitation imposed by

proviso (a) of subsection (1) of that section,

(d)
the trustees’ having the powers conferred by section 33 of the

Trustee Act (Northern Ireland) 1958 (corresponding provision

for Northern Ireland),

(e)
the trustees’ having those powers but free from, or subject to

a less restrictive limitation than, the limitation imposed by

subsection (1)(a) of that section, or

(f)
the trustees’ having powers to the like effect as the powers

mentioned in any of paragraphs (b) to (e).

(2)
For the purposes of this section, the “annual limit” is whichever is the

lower of the following amounts—

(a)
£3,000, and

(b)
3% of the amount that is the maximum value of the settled

property during the period in question.

(3)
For those purposes the annual limit applies in relation to each period

of 12 months that begins on 6 April.

Public Bill Committee: 18 June 2013
151

Finance Bill, continued

(4)
The Treasury may by order made by statutory instrument—

(a)
specify circumstances in which subsection (1)(a) is, or is not,

to apply in relation to a trust, and

(b)
amend the definition of “the annual limit” in subsection (2).

(5)
An order under subsection (4) may—

(a)
make different provision for different cases, and

(b)
contain transitional and saving provision.

(6)
A statutory instrument containing an order under subsection (4) may

not be made unless a draft of the instrument has been laid before, and

approved by a resolution of, the House of Commons.”

      (3)
The amendments made by this paragraph have effect in relation to property

transferred into settlement on or after the day on which this Act is passed.

      (4)
Nothing in this paragraph is to be read as preventing property transferred into

a settlement to which sub-paragraph (5) applies from being settled property for

the purposes of section 89B(1)(c) or (d) of IHTA 1984.

      (5)
This sub-paragraph applies to a settlement—

(a)
created before the day on which this Act is passed the trusts of which

have not been altered on or after that day, or

(b)
arising on or after the day on which this Act is passed under the will

of a testator, if—

(i)
the will was executed before the day on which this Act is

passed and its provisions, so far as relating to the settlement,

have not been altered on or after that day, or

(ii)
the will was executed or confirmed on or after the day on

which this Act is passed and its provisions, so far as relating

to the settlement, are in the same terms as those contained in

a will executed by the same testator before that day.’.

Mr David Gauke

117

Schedule  42,  page  493,  line  24,  at end insert—

‘(da)
a person in receipt of an increased disablement pension,’.

Mr David Gauke

118

Schedule  42,  page  493,  line  30,  leave out from ‘that’ to end of line 36 and insert ‘he

or she would be entitled to receive attendance allowance but for—

‘( )
the conditions as to residence and presence prescribed under section

64(1) of SSCBA 1992 or section 64(1) of SSCB(NI)A 1992,’.

Mr David Gauke

119

Schedule  42,  page  494,  line  5,  leave out from ‘that’ to end of line 12 and insert ‘he

or she would be entitled to receive a disability living allowance by virtue of entitlement

to the care component at the highest or middle rate but for—

‘( )
the conditions as to residence and presence prescribed under section

71(6) of SSCBA 1992 or section 71(6) of SSCB(NI)A 1992,’.

Public Bill Committee: 18 June 2013
152

Finance Bill, continued

Mr David Gauke

120

Schedule  42,  page  494,  line  24,  leave out from ‘that’ to end of line 32 and insert ‘he

or she would be entitled to receive personal independence payment by virtue of

entitlement to the daily living component but for—

‘( )
the conditions as to residence and presence prescribed under section

77(3) of WRA 2012 or the corresponding provision having effect in

Northern Ireland,’.

Mr David Gauke

121

Schedule  42,  page  494,  line  43,  at end insert—

‘Increased disablement pension

7A
A person is to be treated as a disabled person under paragraph 1(da) if he or

she satisfies HMRC that he or she would be entitled to receive an increased

disablement pension but for—

(a)
conditions as to residence and presence that have effect in relation to

increased disablement pension by virtue of regulations under section

104(3) of SSCBA 1992 or section 104(3) of SSCB(NI)A 1992

(application of attendance allowance provisions),

(b)
provision made under section 67(1) or (2) of SSCBA 1992 or section

67(1) or (2) of SSCB(NI)A 1992 (non-satisfaction of conditions for

attendance allowance where person is undergoing treatment for renal

failure in hospital or is provided with certain accommodation) that has

effect in relation to increased disablement pension by virtue of such

regulations, or

(c)
section 113(1) of SSCBA 1992 or section 113(1) of SSCB(NI)A 1992

or provision made by regulations under section 113(2) of SSCBA

1992 or section 113(2) of SSCB(NI)A 1992 (general provisions as to

disqualification and suspension).

Constant attendance allowance

7B
A person is to be treated as a disabled person under paragraph 1(e) if he or she

satisfies HMRC that he or she would be entitled to receive constant attendance

allowance but for—

(a)
article 61 (residence outside United Kingdom) or article 64

(maintenance in hospital or institution) of the Personal Injuries

(Civilians) Scheme 1983 (S.I. 1983/686), or

(b)
article 53 (maintenance in hospital or institution) of the Naval,

Military and Air Forces etc. (Disablement and Death) Service

Pensions Order 2006 (S.I. 2006/606).

Armed forces independence payment

7C
A person is to be treated as a disabled person under paragraph 1(f) if he or she

satisfies HMRC that he or she would be entitled to receive armed forces

independence payment but for article 42 of the Armed Forces and Reserve

Forces (Compensation Scheme) Order 2011 (S.I. 2011/517) (cessation of

payment on admission to Royal Hospital, Chelsea).’.

Public Bill Committee: 18 June 2013
153

Finance Bill, continued

Mr David Gauke

122

Schedule  42,  page  495,  line  5,  at end insert—

‘(a)
article 14 of the Personal Injuries (Civilians) Scheme 1983 (S.I. 1983/

686), or

(b)
’.

Mr David Gauke

123

Schedule  42,  page  495,  line  12,  at end insert—

‘“increased disablement pension” means an increase of disablement

pension under—

(a)
section 104 of SSCBA 1992, or

(b)
section 104 of SSCB(NI)A 1992,’.

Mr David Gauke

124

Schedule  42,  page  495,  line  27,  leave out from ‘arising’ to end of line 28 and insert

‘on or after 8 April 2013 under the will of a testator, if—

(i)
the will was executed before 8 April 2013 and its provisions,

so far as relating to the settlement, have not been altered on or

after that date, or

(ii)
the will was executed or confirmed on or after 8 April 2013

and its provisions, so far as relating to the settlement, are in the

same terms as those contained in a will executed by the same

testator before that date.

      (2)
In this Schedule a reference to a will includes a reference to a codicil.’.

Mr David Gauke

125

Schedule  43,  page  497,  line  40,  leave out ‘in’ and insert ‘which falls in both that

period and’.

Mr David Gauke

126

Schedule  43,  page  498,  line  38,  at end insert ‘, and

(e)
if P had a home overseas during all or part of year X, P did not spend

a sufficient amount of time there in year X.

      (2)
In relation to a home of P’s overseas, P “spent a sufficient amount of time”

there in year X if—

(a)
there were at least 30 days in year X when P was present there on that

day for at least some of the time (no matter how short a time), or

(b)
P was present there for at least some of the time (no matter how short

a time) on each day of year X up to and including the day on which P

died.

      (3)
In sub-paragraph (2)—

(a)
the reference to 30 days is to 30 days in aggregate, whether the days

were consecutive or intermittent, and



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