Session 2013 - 14
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Other Bills before Parliament


 
 

67

 

House of Commons

 
 

Tuesday 13 May 2014

 

Public Bill Committee

 

New Amendments handed in are marked thus Parliamentary Star

 

Parliamentary Star - whiteAmendments 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].

 


 

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.’.

 

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


 
 

Public Bill Committee: 13 May 2014                     

68

 

Finance (No.2) Bill, continued

 
 

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: 13 May 2014                     

69

 

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.’.

 


 

Ed Balls

 

Chris Leslie

 

Cathy Jamieson

 

Catherine McKinnell

 

Shabana Mahmood

 

24

 

Clause  71,  page  61,  line  2,  at end insert—


 
 

Public Bill Committee: 13 May 2014                     

70

 

Finance (No.2) Bill, continued

 
 

‘(3)    

The Chancellor of the Exchequer shall, within six months of this Act receiving

 

Royal Assent, publish a report on levels of revenue from the rates set out in this

 

section.

 

(4)    

The report referred to in subsection (3) above must in particular examine—

 

(a)    

changes in revenue due to illicit market share,

 

(b)    

action to mitigate any such changes in revenue.

 

(5)    

The Chancellor of the Exchequer must publish the report of the review and lay

 

the report before the House.’.

 


 

Ed Balls

 

Chris Leslie

 

Cathy Jamieson

 

Catherine McKinnell

 

Shabana Mahmood

 

25

 

Clause  92,  page  84,  line  16,  at end insert—

 

‘(3)    

The section shall not come into force except as specified in subsection (2) below.

 

(1)    

The Chancellor of the Exchequer shall bring the section into force by

 

order within six months of the passing of this Act.

 

(2)    

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

 

accompanied by a report which details—

 

(a)    

the impact of the provisions in the section on consumers and on

 

fuel poverty;

 

(b)    

the impact of the provisions in the section on energy-intensive

 

industries and on employment in those industries;

 

(c)    

the level of carbon leakage in the energy-intensive industry as a

 

result of the provisions in this section;

 

(d)    

the effect of the provisions in the section on investment in new

 

renewable power generation and on investment in new nuclear

 

power generation;

 

(e)    

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 section;

 

(f)    

what additional package of measures will be enacted to mitigate

 

the impact of the section on energy-intensive industries;

 

(g)    

the impact on business investment of—

 

(i)    

changes to Schedule 6 to the Finance Act 2000 made by

 

Finance Act 2011;

 

(ii)    

changes to Schedule 6 to the Finance Act 2000 made by

 

this Act.’.

 



 
 

Public Bill Committee: 13 May 2014                     

71

 

Finance (No.2) Bill, continued

 
 

Ed Balls

 

Chris Leslie

 

Cathy Jamieson

 

Catherine McKinnell

 

Shabana Mahmood

 

26

 

Clause  107,  page  90,  line  33,  at end insert—

 

‘(5A)    

The Chancellor of the Exchequer shall, within six months of this Act receiving

 

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

 

the impact of changes made to Schedule 19 of the Finance Act 1999 by this

 

section.

 

(5B)    

The report referred to in subsection (5A) must in particular consider—

 

(a)    

the impact on tax revenues;

 

(b)    

the expected beneficiaries; and

 

(c)    

a distributional analysis of the beneficiaries.’.

 


 

Ed Balls

 

Chris Leslie

 

Cathy Jamieson

 

Catherine McKinnell

 

Shabana Mahmood

 

27

 

Clause  113,  page  94,  line  2,  at end insert—

 

‘(1)    

Before bringing forward any further changes to the bank levy rates system the

 

Chancellor shall lay before Parliament a report setting out the impact of all tax

 

changes applying to banks since 2010 on—

 

(a)    

UK banking groups;

 

(b)    

building society groups;

 

(c)    

foreign banking groups; and

 

(d)    

relevant non-banking groups.

 

(2)    

The report will pay particular attention to receipts from—

 

(a)    

corporation tax;

 

(b)    

the bank levy, and

 

(c)    

bank payroll tax.’.

 


 

NEW CLAUSES

 

Lower rate of tax

 

Ed Balls

 

Chris Leslie

 

Cathy Jamieson

 

Catherine McKinnell

 

Shabana Mahmood

 

NC1

 

To move the following Clause:—


 
 

Public Bill Committee: 13 May 2014                     

72

 

Finance (No.2) Bill, continued

 
 

‘(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.’.

 


 

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.’.

 



 
 

Public Bill Committee: 13 May 2014                     

73

 

Finance (No.2) Bill, continued

 
 

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.’.

 


 

Review of reform to the annual investment allowance

 

Ed Balls

 

Chris Leslie

 

Cathy Jamieson

 

Catherine McKinnell

 

Shabana Mahmood

 

NC5

 

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 business investment of changes to

 

section 51A of the Capital Allowance Act 2001 made by the Finance Act 2011.

 

(2)    

The Chancellor of the Exchequer must publish the report of the review and lay

 

the report before the House.’.

 



 
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Revised 13 May 2014