House of Commons Amendments

Session 2014 - 15
Internet Publications
Other Bills before Parliament

Notices of Amendments: 27 June 2014
371

Finance Bill, continued

Mr Chancellor of the Exchequer

42

Clause  61,  page  52,  line  12,  leave out “(EC) No 800/2008” and insert “(EU) No

651/2014”

Mr Chancellor of the Exchequer

43

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

“( )
In the application of section 360L of CAA 2001 in relation to expenditure

incurred before the day on which this Act is passed, the definition of “General

Block Exemption Regulation” in subsection (6) of that section is to be treated as

referring to Commission Regulation (EC) No 800/2008.”

Mr Chancellor of the Exchequer

5

Clause  73,  page  61,  line  18,  leave out “as follows” and insert “in accordance with

subsections (2) to (10)”

Mr Chancellor of the Exchequer

6

Clause  73,  page  62,  line  9,  at end insert—

“( )
Accordingly, in section 1 of the Air Passenger Duty (Setting of Rate) Act

(Northern Ireland) 2012 (setting of rate of air passenger duty)—

(a)
in subsection (1)—

(i)
omit “(3)(a) and (b), (4)(a) and (b),”, and

(ii)
for “(5A)(a), (b) and (c)” substitute “(5A)(c)”, and

(b)
omit subsections (2) to (5), (8) and (9).”

Mr Chancellor of the Exchequer

1

Clause  207,  page  138,  line  23,  at end insert—

“(2A)
The grounds on which an appeal under subsection (1) may be made include in

particular—

(a)
that Condition A, B or D in section 197was not met in relation to the

follower notice,

(b)
that the judicial ruling specified in the notice is not one which is relevant

to the chosen arrangements,

(c)
that the notice was not given within the period specified in subsection (6)

of that section, or

(d)
that it was reasonable in all the circumstances for P not to have taken the

necessary corrective action (see section 201(4)) in respect of the denied

advantage.”

Notices of Amendments: 27 June 2014
372

Finance Bill, continued

Mr Chancellor of the Exchequer

2

Clause  207,  page  138,  line  43,  at end insert—

“(8A)
The cancellation under subsection (7) of HMRC’s decision on the ground

specified in subsection (2A)(d) does not affect the validity of the follower notice,

or of any accelerated payment notice or partner payment notice under Chapter 3

related to the follower notice.”

Mr Chancellor of the Exchequer

4

Clause  291,  page  199,  leave out lines 23 to 29

Mr Chancellor of the Exchequer

11

Schedule  6,  page  273,  line  29,  at end insert—

“139A (1)
Section 94A of ITTOIA 2005 (costs of setting up SAYE option scheme or

CSOP scheme) is amended as follows.

      (2)
In subsection (1)—

(a)
in paragraph (a) omit “that is approved by an officer of Revenue and

Customs”, and

(b)
omit paragraph (b) and the “and” before it.

      (3)
In subsection (2)—

(a)
at the beginning of paragraph (a) insert “Schedule 3”,

(b)
at the beginning of paragraph (b) insert “Schedule 4”, and

(c)
omit the final sentence.

      (4)
In subsection (4) for “approval is given” (in both places) substitute “relevant

date falls”.

      (5)
After subsection (4) insert—

“(4A)
In subsection (4) “the relevant date”—

(a)
in relation to a Schedule 3 SAYE option scheme, has the

meaning given in paragraph 40A(6) of Schedule 3 to ITEPA

2003, and

(b)
in relation to a Schedule 4 CSOP scheme, has the meaning

given in paragraph 28A(6) of Schedule 4 to ITEPA 2003.””

Mr Chancellor of the Exchequer

12

Schedule  6,  page  276,  line  42,  after “under” insert “section 94A of ITTOIA 2005

or”

Mr Chancellor of the Exchequer

13

Schedule  6,  page  294,  line  48,  leave out “paragraph 141” and insert “paragraphs

139A and 141”

Notices of Amendments: 27 June 2014
373

Finance Bill, continued

Mr Chancellor of the Exchequer

14

Schedule  6,  page  295,  line  1,  after “under” insert “section 94A of ITTOIA 2005 or”

Mr Chancellor of the Exchequer

7

Schedule  7,  page  311,  line  41,  at end insert—

“9A(1)
Section 428 (restricted securities: amount of charge) is amended as follows.

      (2)
In subsection (7), after paragraph (ba) insert—

“(bb)
any amount that was charged to non-UK income tax in respect

of the acquisition of the employment-related securities, but

only so far as that amount exceeds any amount within

paragraph (b) or (ba),”.

      (3)
After subsection (7) insert—

“(7A)
In subsection (7)(b) and (ba) the references to an amount of exempt

income, in a case in which the amount that constituted, or was treated

as, earnings in respect of the acquisition was not an amount of general

earnings to which any of the charging provisions of Chapters 4 and 5

of Part 2 applied, includes any amount that would have been an

amount of exempt income if any of those charging provisions had

applied.

(7B)
In subsection (7)(bb) “non-UK income tax” means a tax chargeable on

income under the law of a territory outside the United Kingdom that

corresponds to United Kingdom income tax.

(7C)
A tax is not outside the scope of subsection (7B) by reason only that

it—

(a)
is chargeable under the law of a province, state or other part

of a country, or

(b)
is levied by or on behalf of a municipality or other local

body.””

Mr Chancellor of the Exchequer

8

Schedule  7,  page  312,  line  8,  at end insert—

“11A
In section 446T (securities acquired for less than market value: amount of

notional loan), after subsection (3) insert—

“(3A)
In subsection (3)(b) and (ba) the references to an amount of exempt

income, in a case in which the amount that constitutes, or is treated as,

earnings in respect of the acquisition is not an amount of general

earnings to which any of the charging provisions of Chapters 4 and 5

of Part 2 applies, includes any amount that would be an amount of

exempt income if any of those charging provisions were to apply.”

Mr Chancellor of the Exchequer

9

Schedule  7,  page  312,  line  10,  at end insert—

“12A
In section 480 (securities options: deductible amounts), after subsection (5)

insert—

Notices of Amendments: 27 June 2014
374

Finance Bill, continued

“(5A)
In subsection (5)(a) the reference to an amount of exempt income, in

a case in which the amount that constituted earnings in respect of the

acquisition was not an amount of general earnings to which any of the

charging provisions of Chapters 4 and 5 of Part 2 applied, includes any

amount that would have been an amount of exempt income if any of

those charging provisions had applied.”

Mr Chancellor of the Exchequer

10

Schedule  7,  page  313,  line  26,  at end insert—

“23A
In section 149AA (restricted and convertible employment-related securities

and employee shareholder shares), in subsection (7)—

(a)
after “include” insert “—

(a)
”, and

(b)
at the end insert “, or

(b)
in a case in which the amount that constituted, or was

treated as, earnings was not an amount of general

earnings to which any of the charging provisions of

Chapters 4 and 5 of Part 2 of ITEPA 2003 applied,

any amount that would have been an amount of such

exempt income if any of those charging provisions

had applied.””

Mr Chancellor of the Exchequer

15

Schedule  9,  page  328,  line  20,  after “charity,” insert—

“( )
an accredited social impact contractor (see section 257JD),”

Mr Chancellor of the Exchequer

16

Schedule  9,  page  330,  line  33,  after “Part” insert “(except section 257JD)”

Mr Chancellor of the Exchequer

17

Schedule  9,  page  330,  line  34,  at end insert—

“257JD
Accreditation as a social impact contractor

(1)
In this Part “accredited social impact contractor” means a company

limited by shares that is accredited under this section as a social impact

contractor.

(2)
Applications for accreditation as a social impact contractor must be

made to a Minister of the Crown in the form and manner specified by

a Minister of the Crown.

(3)
A Minister of the Crown is to accredit a company if, but only if, that

Minister is satisfied that—

(a)
the company has entered into a social impact contract (see

section 257JE),

Notices of Amendments: 27 June 2014
375

Finance Bill, continued

(b)
the company is, and at all times since its incorporation has

been, established—

(i)
for the purpose of entering into and carrying out a

social impact contract, or for that purpose and

purposes incidental to it, but

(ii)
for no other purpose, and

(c)
the activities of the company in carrying out that contract will

not consist wholly, or as to a substantial part, in excluded

activities (see section 257MQ).

(4)
If a Minister of the Crown is satisfied that the condition in subsection

(3)(b) or (c) has ceased to be met in relation to a company that is an

accredited social impact contractor, that Minister is to withdraw the

company’s accreditation with effect from the time the condition

ceased to be met or a later time.

257JE
Meaning of “social impact contract”

(1)
In this Part “social impact contract” means a contract that meets such

criteria as may be specified in regulations made by the Treasury.

(2)
The criteria which may be specified under subsection (1) include, in

particular, criteria as to a party to the contract other than the company

seeking accreditation.

(3)
Criteria may be specified in regulations under subsection (1) by

reference to material published by, or on behalf of, a Minister of the

Crown after the making of the regulations (as well as by reference to

material published before the making of the regulations).

(4)
Regulations under subsection (1) may make different provision for

different cases or circumstances or in relation to different areas.

257JF
Accreditations: supplementary provisions

(1)
An accreditation must be made so as to be conditional on compliance

with—

(a)
any requirements imposed by or under regulations, and

(b)
any other requirements considered appropriate by the

Minister of the Crown who is accrediting the company

concerned.

(2)
The requirements that may be imposed by virtue of subsection (1)

include requirements relating to the provision of information.

(3)
Regulations may—

(a)
make further provision about applications for accreditation,

(b)
make provision for the variation of an accreditation (including

its provisions as to its duration),

(c)
make provision which, in a case where a company is or has

been an accredited social impact contractor, imposes or

authorises the imposition of requirements on the company, or

on any other party to the social impact contract concerned, to

provide information,

(d)
make provision about the consequences of a failure to comply

with any requirement of an accreditation imposed by virtue of

subsection (1) or with any requirement imposed by virtue of

paragraph (c), including in particular—

Notices of Amendments: 27 June 2014
376

Finance Bill, continued

(i)
provision for the withdrawal of the accreditation

concerned with effect from the time of the failure or a

later time, and

(ii)
provision for the imposition of penalties,

(e)
make provision for publication of information about an

accreditation or accredited social impact contractor, and

(f)
make provision for reviews of, or for appeals to the tribunal

against, any of the following—

(i)
a refusal to grant or vary an accreditation,

(ii)
the imposition of a requirement under subsection

(1)(b),

(iii)
the withdrawal of an accreditation (whether under

section 257JD(4) or by virtue of provision made

under paragraph (d)(i)), and

(iv)
the imposition or amount of a penalty imposed by

virtue of provision made under paragraph (d)(ii).

(4)
Regulations under subsection (1) or (3) may—

(a)
make provision for the making of decisions by a Minister of

the Crown as to any matter required to be decided for the

purposes of the regulations,

(b)
be framed by reference to material published by, or on behalf

of, a Minister of the Crown after the making of the regulations

(as well as by reference to material published before the

making of the regulations),

(c)
make different provision for different cases or circumstances

or in relation to different areas, and

(d)
contain incidental, supplemental, consequential and

transitional provision and savings.

(5)
In this section—

“accreditation” means accreditation under section 257JD, and

“regulations” means regulations made by the Treasury.

257JG
Period of accreditation as a social impact contractor

(1)
An accreditation under section 257JD has effect for a period—

(a)
beginning with the day specified in the accreditation, and

(b)
of a length specified in, or determined in accordance with, the

accreditation.

(2)
The day specified under subsection (1)(a) in an accreditation may not

be earlier than 6 April 2014 but subject to that—

(a)
may be, or be earlier than, the day it is decided to grant the

accreditation (and in particular may be, or be earlier than, the

day the application for the accreditation is made), and

(b)
may be earlier than the day section 257JD comes into force.

(3)
This section has effect subject to sections 257JD(4) and 257JF(3)(d)(i)

(withdrawal of accreditations).

257JH
Functions of Ministers of the Crown under sections 257JD to 257JG

(1)
A Minister of the Crown may delegate any function given to a Minister

of the Crown by or under sections 257JD to 257JG other than a power

of the Treasury to make regulations.

Notices of Amendments: 27 June 2014
377

Finance Bill, continued

(2)
In those sections and this section “Minister of Crown” has the meaning

given by section 8(1) of the Ministers of the Crown Act 1975.”

Mr Chancellor of the Exchequer

18

Schedule  9,  page  331,  line  1,  at end insert—

“( )
Subsection (1)(b) is subject to the provisions in sections 257LB and

257MJ to 257MN which provide for conditions set out in those

sections not to apply where the social enterprise is an accredited social

impact contractor.”

Mr Chancellor of the Exchequer

19

Schedule  9,  page  334,  line  44,  at end insert—

“( )
Subsections (2) to (4) do not apply if the social enterprise is an

accredited social impact contractor.”

Mr Chancellor of the Exchequer

20

Schedule  9,  page  335,  line  12,  after “257MJ(2)(c)” insert “or is a parent company

that is an accredited social impact contractor”

Mr Chancellor of the Exchequer

21

Schedule  9,  page  339,  line  23,  at end insert—

“257M
The continuing to be a social enterprise requirement

The social enterprise must be a social enterprise throughout the shorter

applicable period.”

Mr Chancellor of the Exchequer

22

Schedule  9,  page  343,  line  11,  after “period” insert “, but this does not apply if the

social enterprise is an accredited social impact contractor”

Mr Chancellor of the Exchequer

23

Schedule  9,  page  343,  line  15,  after “business” insert “—

(i)
”

Mr Chancellor of the Exchequer

24

Schedule  9,  page  343,  line  17,  leave out “non-qualifying” and insert “non-trade

activities, and

(ii)
does not consist wholly, or as to a substantial part, in the

carrying-on of excluded”

Mr Chancellor of the Exchequer

25

Schedule  9,  page  344,  line  14,  at end insert “, and



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