1

House of Commons

Notices of Amendments

given up to and including

Monday 9 October 2017

New Amendments handed in are marked thus

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

Committee of the whole House

Finance Bill

(Clause 5 and any new Clauses or new Schedules relating to the tax treatment of payments or

benefits received in connection with the termination of an employment or a change in the

duties in, or earnings from, an employment; Clause 15 and any new Clauses or new Schedules

relating to the conditions under which business investment relief in Chapter A1 of Part 14 of

the Income Tax Act 2007 is available; Clause 25 and any new Clauses or new Schedules

relating to the extent to which trading profits are chargeable to corporation tax at the

Northern Ireland rate)

Note

This document includes all amendments tabled to date and includes any

withdrawn amendments at the end. The amendments have been arranged in

accordance with the Order of the House [12 September 2017].

PROCEEDINGS COMMITTED UNDER PARAGRAPH (1)(A) (TERMINATION PAYMENTS

ETC)

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

1

Clause  5,  page  12,  leave out lines 8 to 12

Member’s explanatory statement

This amendment removes the power for the Treasury to amend the meaning of “basic pay” for the

purposes of calculating “post-employment notice pay” by regulations.

Notices of Amendments: 9 October 2017                  

2

Finance Bill, continued

Kirsty Blackman

12

Clause  5,  page  13,  line  27,  at end insert—

“402F

  Review of impact of termination payments on low income workers

(1)    

Within two months of Royal Assent being given to the Finance (No. 2) Act 2017,

the Chancellor of the Exchequer shall commission a review of the impact of the

provisions of sections 402A to 402E on low income workers.

(2)    

A report of this review must be laid before the House of Commons before the start

of the tax year 2018–19.”

Member’s explanatory statement

This amendment requires the Chancellor of the Exchequer to carry out a review of how the

changes to termination payments will affect low income workers before these provisions come into

effect.

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

2

Clause  5,  page  14,  line  15,  leave out “different” and insert “higher”

Member’s explanatory statement

This amendment removes the power for the Treasury to reduce the £30,000 threshold in connection

with the taxation of termination payments by regulations.

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

3

Clause  5,  page  14,  leave out lines 20 to 23

Member’s explanatory statement

This amendment is consequential upon Amendment 2.

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

4

Clause  5,  page  14,  leave out lines 27 and 28 and insert—

““(2)    

“Injury” in subsection (1) includes—

(a)    

psychiatric injury, and

(b)    

injured feelings.””

Member’s explanatory statement

This amendment explicitly includes (rather than excludes) injured feelings within the definition of

“injury” for the purposes of payments which are excluded from the provisions of Chapter 3 of Part

6 of the Income Tax (Earnings and Pensions) Act 2003 (payments and benefits on termination of

employment).

Notices of Amendments: 9 October 2017                  

3

Finance Bill, continued

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

5

Page  9,  line  26,  leave out Clause 5

PROCEEDINGS COMMITTED UNDER PARAGRAPH (1)(B) (BUSINESS INVESTMENT

RELIEF)

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

6

Clause  15,  page  21,  line  6,  at end insert—

“(b)    

in subsection (4), leave out “and B” and insert “to C”;

(c)    

leave out subsection (5) and insert—

“(5)    

Condition A is defined in section 809VD.

(5A)    

Condition B is defined in section 809VF.

(5B)    

Condition C is defined in section 809VFA.””

Member’s explanatory statement

This amendment paves the way for the creation of a new condition to be met in order for business

investment to qualify for relief, as set out in Amendment 7.

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

7

Clause  15,  page  21,  line  32,  at end insert—

“(4A)    

After section 809VF (Condition B) insert—

“809VFA 

  Condition C  

(1)    

Condition C is that the person making that investment registers the source

of the investment on a public register in a manner prescribed by

regulations.

(2)    

The Treasury shall by regulations prescribe the manner for public

registration of the source of investments.

Notices of Amendments: 9 October 2017                  

4

Finance Bill, continued

(3)    

A statutory instrument containing regulations under subsection (2) may

not be made unless a draft of it has been laid before, and approved by a

resolution of, the House of Commons.””

Member’s explanatory statement

This amendment creates a new condition to be met in order for business investment to qualify for

relief, namely that the source of the investment appears on a public register.

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

8

Clause  15,  page  22,  line  20,  after “section”, insert “(other than those specified in

subsection (9))”

Member’s explanatory statement

This amendment paves the way for Amendment 9.

Kirsty Blackman

13

Clause  15,  page  22,  line  21,  leave out “on or after 6 April 2017” and insert “on or

after the date on which the Chancellor of the Exchequer lays before the House of

Commons a report of the review undertaken under section 809VP of ITA 2007”

Member’s explanatory statement

This amendment would provide that the changes in Clause 15 do not have effect until after the

Chancellor of the Exchequer has laid before the House of Commons the review provided for in

NC3.

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

9

Clause  15,  page  22,  line  21,  at end insert—

“(9)    

The amendments specified in this subsection are—

(a)    

the amendments in subsection (2)(b) and (c);

(b)    

the amendment in subsection (4A).

(10)    

The amendments specified in subsection (9) have effect where the relevant event

as defined in section 809VA of ITA 2007 occurs on or after the date of Royal

Assent.”

Member’s explanatory statement

This amendment provides that the amendments to the Income Tax Act 2007 contained in

Amendments 6 and 7 shall come into force from the date of Royal Assent.

Notices of Amendments: 9 October 2017                  

5

Finance Bill, continued

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

10

Page  21,  line  3,  leave out Clause 15

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

NC1

To move the following Clause—

“Review of conditions under which business investment relief is available

(1)    

Chapter A1 of Part 14 of ITA 2007 (remittance basis) is amended as follows.

(2)    

After section 809VO (investments made from mixed funds), insert—

“809VP 

  Review of conditions under which business investment relief is

available  

(1)    

Within six months of the coming into force of section 15 of the Finance

(No. 2) Act 2017, the Commissioners for Her Majesty’s Revenue and

Customs shall complete a review of the conditions under which business

investment relief is available.

(2)    

For the purposes of this section “the conditions” means—

(a)    

Condition A as defined in section 809VD,

(b)    

Condition B as defined in section 809VF.

(3)    

The review shall make an estimate of the value of the reliefs granted as a

result of the conditions in respect of each tax year for which the relief has

been available.

(4)    

The review shall make an estimate of the change in the value of the reliefs

granted as a result of—

(a)    

changes to the conditions relating to eligible hybrid companies,

(b)    

changes to the periods specified in sections 809VD and 809VH,

(c)    

changes to the grace period in section 809VJ.

(5)    

The review shall make an assessment of the effectiveness of the

conditions in relation to the stated policy aims of the Government in

relation to business investment relief.

(6)    

The review shall prepare an analysis of the characteristics of

beneficiaries of reliefs having particular regard to—

(a)    

income distribution,

(b)    

gender and other protected characteristics under the Equality Act

2010,

Notices of Amendments: 9 October 2017                  

6

Finance Bill, continued

(c)    

domicile (including deemed domicile).

(7)    

A report of the review under this section shall be laid before the House of

Commons within one calendar month of its completion.””

Member’s explanatory statement

This new clause requires HMRC to carry out a review of the conditions under which business

investment relief is available, including estimates of the value of the reliefs (before and after the

changes proposed in this Bill) and an analysis of the characteristics of those using the relief,

including their domicile status.

Kirsty Blackman

NC3

To move the following Clause—

“Review of the efficacy of the conditions for business investment relief

(1)    

Chapter A1 of Part 14 of ITA 2007 (remittance basis) is amended as follows.

(2)    

After section 809VO (investments made from mixed funds), insert—

“809VP 

  Review of efficacy of the conditions for business investment relief

(1)    

Within two months of Royal Assent to the Finance (No. 2) Act 2017, the

Commissioners for Her Majesty’s Revenue and Customs shall complete

a review of the impact of the conditions for business investment relief in

encouraging investment in the UK.

(2)    

The review shall make an estimate of additional investment as a result of

the condition for business investment relief—

(a)    

prior to Royal Assent being given to the Finance (No. 2) Act

2017, and

(b)    

if the changes to those conditions in section 15 of the Finance

(No. 2) Act were brought into force.

(3)    

The Chancellor of the Exchequer shall lay the report of this review before

the House of Commons.””

Member’s explanatory statement

This new clause requires HMRC to carry out a review of efficacy of the conditions under which

business investment relief is available and the Chancellor to lay it before the House of Commons.

Notices of Amendments: 9 October 2017                  

7

Finance Bill, continued

PROCEEDINGS COMMITTED UNDER PARAGRAPH (1)(C) (TRADING PROFITS TAXABLE

AT THE NORTHERN IRELAND RATE)

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

11

Page  35,  line  9,  leave out Clause 25

Jeremy Corbyn

John McDonnell

Mr Nicholas Brown

Peter Dowd

Jonathan Reynolds

Anneliese Dodds

NC2

To move the following Clause—

“Review of changes to chargeability of trading profits to corporation tax at

Northern Ireland rate

(1)    

CTA 2010 is amended as follows.

(2)    

After section 357WH (Allocation of Northern Ireland profits etc of firm to

company), insert—

“357WI 

  Review of changes to chargeability of trading profits to

corporation tax at Northern Ireland rate

(1)    

As soon as practicable after the completion of the first financial year in

respect of which the Northern Ireland rate is set by the Northern Ireland

Assembly in accordance with the provisions of section 357IA, the

Commissioners for Her Majesty’s Revenue and Customs shall complete

a review of the effects of the changes to chargeability of trading profits

to corporation tax at the Northern Ireland rate made in Schedule 7 to the

Finance (No. 2) Act 2017.

(2)    

A review under this section shall consider in particular the effect of those

changes on the extent to which companies are based in—

(a)    

Northern Ireland, and

(b)    

Great Britain.

(3)    

A review under this section shall also consider the effect of those changes

on the extent to which the profits or losses of companies and firms are

Northern Ireland profits or losses.

(4)    

A review under this section shall also consider the effect on employment

in—

(a)    

Northern Ireland, and

(b)    

Great Britain.