House of Commons Amendments

Session 2013 - 14
Internet Publications
Other Bills before Parliament

51

House of Commons

Thursday 8 May 2014

Public Bill Committee

New Amendments handed in are marked thus

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

Finance (No. 2) Bill

(Except Clauses 1, 5 to 7, 11, 72 to 74 and 112; Schedule 1; and certain new Clauses and new

Schedules.)

Note

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

Committee [29 April 2014].

Ed Balls

Chris Leslie

Shabana Mahmood

Cathy Jamieson

Catherine McKinnell

12

Clause  35,  page  36,  line  18,  at end insert—

‘(16)
The Chancellor of the Exchequer shall, within three months of Royal Assent,

undertake a review into the impact of the changes made by this section to the

number of community amateur sports clubs in the UK.

(17)
The report referred to in subsection (1) above must in particular examine—

(a)
the value of company profit donations to community amateur sports

clubs over the last four years;

(b)
the amount of Class 1 national insurance contributions paid by

community amateur sports clubs, and

(c)
the average cost to community amateur sports clubs in order to retain

their CASC status.

(18)
The Chancellor of the Exchequer must publish the report of the review and lay

the report before the House.’.

Public Bill Committee: 8 May 2014
52

Finance (No.2) Bill, continued

Mr David Gauke

6

Schedule  5,  page  232,  line  31,  leave out ‘the relevant day’ and insert ‘—

(i)
the day on which the trustee’s appointment as

mentioned in paragraph (a) takes effect, or

(ii)
if the trustee is appointed as mentioned in paragraph

(a) on more than one occasion, the day on which the

first appointment takes effect’.

Mr David Gauke

7

Schedule  5,  page  234,  line  41,  leave out ‘the liability of’ and insert ‘retained or

assumed by’.

Mr David Gauke

8

Schedule  5,  page  234,  line  45,  leave out from ‘be’ to end of line 46 and insert

‘retained or assumed by the person who was, or the persons who were, the scheme

administrator when there last was a scheme administrator before the relevant day (unless

dead or having ceased to exist).’.

Mr David Gauke

9

Schedule  5,  page  235,  line  17,  leave out ‘section).”’ and insert ‘section), and in

particular the liability continues to be a liability of the scheme administrator for the

purposes of section 271(2).

(10)
If a person assumes the liability under section 271(2) at a time after P

or Q’s appointment as, or as one of the persons who are, the scheme

administrator has ceased, the person who has, or the persons who

have, the liability by reason of subsection (3) or (4) is, or are, released

from the liability.

(11)
A person who has, or persons who have, the liability by reason of

subsection (3) or (4) may apply to an officer of Revenue and Customs

to be released from the liability.

(12)
Section 271(6) to (13) applies in relation to an application under

subsection (11) as it applies in relation to an application under section

271(5).”’.

Mr David Gauke

10

Schedule  5,  page  235,  line  39,  leave out sub-paragraph (3).

Ed Balls

Chris Leslie

Shabana Mahmood

Cathy Jamieson

Catherine McKinnell

13

Clause  45,  page  43,  line  6,  at end insert—

Public Bill Committee: 8 May 2014
53

Finance (No.2) Bill, continued

‘( )
The Chancellor of the Exchequer shall carry out reviews of the effects of the

operation of the provision made by or under this Clause.

( )
The first review must be completed before the end of the period of five years

beginning with the date on which section 45 of this Act, so far as it inserts this

section, comes into force.

( )
Subsequent reviews must be completed before the end of the period of five years

beginning with the date on which the previous review was completed.

( )
A report of each review must be laid before both Houses of Parliament.

( )
A report of each review must be made available to the Treasury Select

Committee.’.

Ed Balls

Chris Leslie

Shabana Mahmood

Cathy Jamieson

Catherine McKinnell

14

Clause  47,  page  43,  line  35,  at end insert—

‘(5)

(a)
The Chancellor of the Exchequer shall, within six months of this Act

receiving Royal Assent, undertake a review of the impact of changes

made by this section to the Income Tax (Earning and Pensions) Act 2003

(share incentive plans) on—

(i)
the uptake of Share Incentive Plans;

(ii)
changes made to the maximum value of Share Incentive Plans

that can be awarded to an employee;

(iii)
changes made to the maximum amount of an employee’s salary

that can be used to purchase Share Incentive Plans;

(iv)
the types of business using Share Incentive Plans.’.

Mr David Gauke

16

Schedule  8,  page  325,  line  47,  leave out ‘distribution’ and insert ‘payment’.

Mr David Gauke

17

Schedule  8,  page  326,  line  4,  leave out ‘distribution’ and insert ‘payment’.

Mr David Gauke

18

Schedule  8,  page  326,  line  27,  at end insert—

      ‘()
In section 281(1)(f)(i) or (iii) of ITA 2007 references to a company’s share

capital do not include so much (if any) of its share capital as consists of shares

issued before 6 April 2014.’.

Public Bill Committee: 8 May 2014
54

Finance (No.2) Bill, continued

Mr David Gauke

19

Schedule  8,  page  326,  line  27,  at end insert—

‘
In section 322 of ITA 2007 (power to facilitate mergers of VCTs: provision

that may be made by regulations), after subsection (5) insert—

“(5A)
Provision for section 281(1)(f) (withdrawal of VCT approval where

company has made a repayment of share capital etc) not to apply, or

to apply subject to modifications, to the successor company or any of

the merging companies, in relation to payments made, or amounts

used to pay up new shares, in connection with or after the merger.”’.

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

20

Clause  53,  page  44,  line  29,  at end insert—

‘(3)
The Chancellor of the Exchequer shall, within six months of the passing of this

Act, publish and lay before the House of Commons a report setting out the

predicted impact, over the next five years, of the changes introduced by Schedule

9 to this Act to ITA 2007 on the overall level of investment in social enterprises.

(4)
This report must in particular set out the predicted impact of sections 257MQ and

257MS of ITA 2007, as inserted by paragraph 1 of Schedule 9, on the overall

level of investment in renewable technologies over the next five years.’.

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

21

Clause  61,  page  52,  line  41,  at end insert—

‘(13)

(a)
the Chancellor of the Exchequer shall, within six months of this Act

receiving Royal Assent, undertake a review of the impact of changes

made by this section on—

(i)
the uptake of the business premises renovation allowances

(BPRA);

(ii)
the number of BPRA schemes disclosed through DOTAS being

investigated by HMRC; and

(iii)
the value of BPRA schemes disclosed through DOTAS being

investigated by HMRC.

(b)
the Chancellor of the Exchequer must publish the report of the review

and lay the report before the House.’.

Public Bill Committee: 8 May 2014
55

Finance (No.2) Bill, continued

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

22

Clause  65,  page  55,  line  36,  at end insert—

‘(1)
The Chancellor of the Exchequer shall, within three months of Royal Assent,

undertake a review of the impact of the creation of the onshore allowance

introduced under this section.

(2)
The report referred to in subsection (1) above must in particular examine—

(a)
the estimated total loss of tax revenue to the Treasury in the next 10

financial years;

(b)
the impact on onshore oil and gas exploration and field development in

the next 10 years; and

(c)
the differential impact on individual shale fields.

(3)
The Chancellor of the Exchequer must publish the report of the review and lay

the report before the House.’.

Ed Balls

Chris Leslie

Shabana Mahmood

Cathy Jamieson

Catherine McKinnell

15

Clause  68,  page  61,  line  39,  at end insert—

‘( )
The Chancellor of the Exchequer shall, within six months of the passing of this

Act, publish and lay before the House of Commons a report setting out the

impact, over the next three years, of the changes made to the Corporation Tax Act

2009 and the Income Tax (Trading and Other Income) Act 2005 by Schedule 13.

( )
The report must in particular set out—

(a)
how much additional tax revenue the measures introduced by this section

are expected to generate to the UK Exchequer, for each year in which

they are in operation; and

(b)
the impact of those measures on revenues lost to the Exchequer as a

consequence of tax avoidance schemes for each year in which they are in

operation.’.

Public Bill Committee: 8 May 2014
56

Finance (No.2) Bill, continued

NEW CLAUSES

Lower rate of tax

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

NC1

To move the following Clause:—

‘(1)
The Chancellor of the Exchequer shall, within six months of Royal Assent, lay

before Parliament a report containing proposals for an income tax rate of 10 per

cent on a band of income above the personal allowance.

(2)
The report mentioned in subsection (1) above shall provide for the full benefit of

the 10 per cent. rate not being available to taxpayers paying the higher or

additional rates of tax.’.

Higher rate of tax

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

NC2

To move the following Clause:—

‘(1)
The Chancellor of the Exchequer shall, within three months of the passing of this

Act, undertake a review of the number of people paying the 40 per cent rate of

income tax in the years—

(a)
2010-2011;

(b)
2011-2012;

(c)
2012-2013; and

(d)
2013-2014.

(2)
The Chancellor of the Exchequer must publish the report of the review and lay

the report before the House.’.

Public Bill Committee: 8 May 2014
57

Finance (No.2) Bill, continued

Personal allowance for those born after 5 April 1948

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

NC3

To move the following Clause:—

‘The Chancellor of the Exchequer shall, within three months of the passing of this

Act, undertake a review of the impact of the removal of the age-related personal

allowance on anyone who reached the age of 65 on or after April 2013 and place

a copy in the Library.’.

Capital gains tax and employee shareholders

Ed Balls

Chris Leslie

Cathy Jamieson

Catherine McKinnell

Shabana Mahmood

NC4

To move the following Clause:—

‘(1)
The Chancellor of the Exchequer shall, within three months of the passing of this

Act, undertake a review of the impact on tax revenues of employee shareholder

status as defined by section 205A of the Employment Rights Act 1996, and set

out the conclusion of the review in a report.

(2)
The report referred to in subsection (1) above must in particular set out—

(a)
the impact on total capital gains tax receipts paid to the Exchequer arising

from the capital gains exemptions under section 236B of the Taxation of

Chargeable Gains Act 1992;

(b)
the estimated value of shares owned by employees working in employee

shareholder jobs and the number of such employees.

(3)
The Chancellor of the Exchequer must publish the report of the review and lay

the report before the House.

(4)
Subsequent reviews must be completed before the end of each period of 12

months beginning with the date on which the previous review was completed.’.



© Parliamentary copyright	Revised 8 May 2014