Session 2017-19
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Other Bills before Parliament


 
 

1

 

House of Commons

 
 

Notices of Amendments

 

given up to and including

 

Thursday 4 January 2018

 

New Amendments handed in are marked thus Parliamentary Star

 

Parliamentary Star - whiteAmendments which will comply with the required notice period at their next appearance

 

Amendments tabled since the last publication: 34 to 45 and NC5 to NC10

 

Public Bill Committee


 

Finance (No. 2) Bill


 

(Except Clause 8; Clause 33 and Schedule 9; Clauses 40 and 41 and Schedule 11; New Clauses


 

or new Schedules relating to the income tax treatment of armed forces’ accommodation al­


 

lowances, the bank levy, stamp duty land tax, the effect of the Bill on equality, or the effect of


 

the Bill on tax avoidance or evasion)


 

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withdrawn amendments at the end.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 Resolution of the Programming Sub-Committee.

 

 


 

Resolution of the Programming Sub-Committee

 

The Programming Sub-Committee appointed by the Speaker in respect of the Bill

 

agreed the following Resolution at its meeting on Wednesday 20 December (Standing

 

Order 83C):

 

That—

 

(1)  

the Committee shall (in addition to its first meeting at 9.25 am on Tuesday 9

 

January) meet—

 

(a)  

at 2.00 pm on Tuesday 9 January; 

5

(b)  

at 11.30 am and 2.00 pm on Thursday 11 January;

 

(c)  

at 9.25 am and 2.00 pm on Tuesday 16 January;

 

(d)  

at 11.30 am and 2.00 pm on Thursday 18 January;


 
 

Notices of Amendments: 4 January 2018                  

2

 

Finance (No. 2) Bill, continued

 
 

(2)  

the proceedings shall be taken in the following order: Clauses 1 to 7; Clauses

 

9 to 11; Schedule 1; Clause 12; Schedule 2; Clause 13; Schedule 3; Clauses

10

14 to 16; Schedule 4; Clause 17; Schedule 5; Clause 18; Schedule 6; Clauses

 

19 to 23; Schedule 7; Clause 24; Schedule 8; Clauses 25 to 32; Clauses 34

 

and 35; Schedule 10; Clauses 36 to 39; Clause 42; Schedule 12; Clauses 43

 

to 50; new Clauses; new Schedules; remaining proceedings on the Bill;

 

(3)  

the proceedings shall (so far as not previously concluded) be brought to a

15

conclusion at 5.00 pm on Thursday 18 January.

 

Mel Stride has given notice of his intention to move a motion in the terms of the

 

Resolution of the Programming Sub-Committee [Standing Order No. 83C].

 

As Amendments to Mel Stride’s proposed Motion—

 

Kirsty Blackman

 

Alison Thewliss

 

(a)

 

Leave out line 4

 

Kirsty Blackman

 

Alison Thewliss

 

(b)

 

Line  7,  at end insert—

 

“(1A)    

The Committee shall hear oral evidence in accordance with the following

 

Table—

 

TABLE

 

Date

Time

Witnesses

 
 

Thursday 11 January

Until no later than 12.15 pm

HM Treasury; HM

 
   

Revenue and Customs

 
 

Thursday 11 January

Until no later than 1.00 pm

The Office for Budget

 
   

Responsibility

 
 

Thursday 11 January

Until no later than 3.30 pm

The Institute for Fiscal

 
   

Studies

 
 

Thursday 11 January

Until no later than 5.00 pm

The Chartered Institute

 
   

of Taxation”

 
 

Kirsty Blackman

 

Alison Thewliss

 

(c)

 

Line  15,  at end insert—

 

“(4)    

The Committee recommends that the programme order of the House [11

 

December 2017] should be amended in paragraph 7 by substituting “25 January”

 

for “18 January”.”

 



 
 

Notices of Amendments: 4 January 2018                  

3

 

Finance (No. 2) Bill, continued

 
 

Mel Stride

 

That, subject to the discretion of the Chair, any written evidence received by the

 

Committee shall be reported to the House for publication.

 


 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

34

 

Parliamentary Star    

Schedule  1,  page  57,  line  33,  at end insert “or such higher amount as may be

 

determined in accordance with sub-paragraphs (1A) to (1D).

 

(1A)    

This sub-paragraph applies where the loan is between £100,000 and £199,999.

 

(1B)    

This sub-paragraph applies where the loan is a multiple of £100,000.

 

(1C)    

Where sub-paragraph (1A) applies, the penalty is £600.

 

(1D)    

Where sub-paragraph (1B) applies, the penalty is the equivalent multiple of

 

£300.”

 

Member’s explanatory statement

 

This amendment provides for higher penalties for failure to comply with section 35C where the

 

amount of the loan is greater.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

35

 

Parliamentary Star    

Schedule  1,  page  57,  line  38,  after “£60”, insert “or such higher amount as may be

 

determined in accordance with sub-paragraphs (4) to (7)”.

 

Member’s explanatory statement

 

This amendment paves the way for Amendment 36.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

36

 

Parliamentary Star    

Schedule  1,  page  57,  line  39,  at end insert—

 

“(4)    

This sub-paragraph applies where the loan is between £100,000 and £199,999.

 

(5)    

This sub-paragraph applies where the loan is a multiple of £100,000.

 

(6)    

Where sub-paragraph (4) applies, the penalty is £120.

 

(7)    

Where sub-paragraph (5) applies, the penalty is the equivalent multiple of £60.”

 

Member’s explanatory statement

 

This amendment provides for higher penalties for continued failure to comply with section 35C

 

where the amount of the loan is greater.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

37

 

Parliamentary Star    

Schedule  1,  page  58,  line  10,  at end insert “or such higher amount as may be

 

determined in accordance with sub-paragraphs (6A) to (6D).

 

(6A)    

This sub-paragraph applies where the loan is between £100,000 and £199,999.

 

(6B)    

This sub-paragraph applies where the loan is a multiple of £100,000.

 

(6C)    

Where sub-paragraph (1A) applies, the penalty is £6,000.


 
 

Notices of Amendments: 4 January 2018                  

4

 

Finance (No. 2) Bill, continued

 
 

(6D)    

Where sub-paragraph (1B) applies, the penalty is the equivalent multiple of

 

£3,000.”

 

Member’s explanatory statement

 

This amendment provides for higher penalties for inaccurate information or documents relating to

 

compliance with section 35C where the amount of the loan is greater.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

38

 

Parliamentary Star    

Schedule  1,  page  60,  line  20,  at end insert—

 

“17(1)  

The amendments made by paragraphs 9 to 12 have effect in accordance

 

with the provisions of this paragraph.

 

      (2)  

No later than two months after the passing of this Act, the Chancellor of the

 

Exchequer and the Commissioners shall undertake an assessment of the profile

 

of those holding loans to which the amendments made by those paragraphs

 

apply.

 

      (3)  

A review under this paragraph shall consider what discretionary arrangements

 

it is appropriate for the Commissioners to take in relation those holding such

 

loans who are not higher rate taxpayers.

 

      (4)  

The amendments made by paragraphs 9 to 12 shall have effect when the

 

Chancellor of the Exchequer has laid before the House of Commons a report

 

of the review under this paragraph.”

 

Member’s explanatory statement

 

This amendment provides for commencement of the provisions of Part 4 of the Schedule to take

 

place after the publication of a review of the profile of those affected, and in particular on lower

 

paid taxpayers.

 


 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

39

 

Parliamentary Star    

Schedule  3,  page  65,  line  28,  at end insert “or

 

(j)    

the pension scheme is a Master Trust scheme which has not complied

 

with the relevant requirements of section 159E(2).”

 

Member’s explanatory statement

 

This amendment paves the way for Amendment 41.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

40

 

Parliamentary Star    

Schedule  3,  page  65,  line  37,  at end insert “or

 

(i)    

the pension scheme is a Master Trust scheme which has not complied

 

with the relevant requirements of section 159E(3).”

 

Member’s explanatory statement

 

This amendment paves the way for Amendment 41.


 
 

Notices of Amendments: 4 January 2018                  

5

 

Finance (No. 2) Bill, continued

 
 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

41

 

Parliamentary Star    

Schedule  3,  page  65,  line  37,  at end insert—

 

  “(4A)  

After section 159D, insert—

 

Additional registration requirements for Master Trust schemes

 

159E  

Additional registration requirements for Master Trust schemes

 

(1)    

This section establishes additional registration requirements for

 

Master Pension schemes.

 

(2)    

In respect of any such scheme, an investment strategy must be

 

presented to the Commissioners prior to registration.

 

(3)    

In respect of any such scheme, and in respect of each year of

 

registration, an annual report must be published on administration,

 

fund management costs and transaction costs for each asset class and

 

for active and passive asset management strategies.”

 

Member’s explanatory statement

 

This amendment requires additional information to be provided on investment strategies and costs

 

for Master Trust schemes prior to and in each year of registration with HMRC.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

42

 

Parliamentary Star    

Schedule  3,  page  67,  line  14,  after “153(5)(i)”, insert “and (j)”

 

Member’s explanatory statement

 

This amendment is consequential on Amendment 41.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

43

 

Parliamentary Star    

Schedule  3,  page  67,  line  16,  after “158(1)(h)”, insert “and (i)”

 

Member’s explanatory statement

 

This amendment is consequential on Amendment 41.

 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

44

 

Parliamentary Star    

Schedule  3,  page  67,  line  17,  at end insert—

 

“(ba)    

sub-paragraph (4A);”

 

Member’s explanatory statement

 

This amendment is consequential on Amendment 41.

 



 
 

Notices of Amendments: 4 January 2018                  

6

 

Finance (No. 2) Bill, continued

 
 

Mel Stride

 

1

 

Schedule  5,  page  75,  line  36,  at end insert—

 

“Non-qualifying loans

 

6A  (1)  

Section 285 of ITA 2007 (interpretation of Chapter 3 etc of Part 6) is amended

 

as follows.

 

      (2)  

In subsection (2)—

 

(a)    

omit “(whether secured or not)”;

 

(b)    

at the end of paragraph (b) insert “, or

 

(c)    

any liability of the company in respect of a loan to

 

which subsection (2A) applies that has been made to

 

the company.”

 

      (3)  

After that subsection insert—

 

“(2A)    

This subsection applies to a loan if—

 

(a)    

the return on the loan represents more than a commercial rate

 

of return, or

 

(b)    

the loan is made on terms which grant to a person or allow a

 

person to acquire—

 

(i)    

any security or preferential rights in relation to assets

 

of the company, or

 

(ii)    

the ability to control the company.

 

    

In sub-paragraph (ii) “control” has the meaning given by

 

sections 450 and 451 of CTA 2010.

 

(2B)    

The return on a loan is not to be treated as representing more than a

 

commercial rate for the purposes of subsection (2A)(a) if—

 

(a)    

the return on the loan during the period of 5 years from the

 

making of the loan does not exceed 50% of the amount lent,

 

and

 

(b)    

the total return on the loan does not exceed—
equation: N X A X 10 per cent

 

    

where—

 

N is the number of years (including any fraction) in the

 

term of the loan;

 

A is the amount lent or, in a case where some of the loan

 

is repaid during the term of the loan, the average

 

amount outstanding during that term.

 

(2C)    

The Treasury may by regulations substitute a different figure for a

 

figure that is at any time specified in subsection (2B)(a) or (b).

 

(2D)    

In subsections (2A)(a) and (2B) “return” means interest, fees, charges

 

and other amounts payable in respect of the loan.

 

(2E)    

Where it is to any extent not known, before the end of the term of a

 

loan, what amounts will be payable in respect of the loan—

 

(a)    

subsections (2A)(a) and (2B) apply, until the relevant matters

 

are ascertained, on the basis of what amounts can reasonably

 

be expected to be payable;


 
 

Notices of Amendments: 4 January 2018                  

7

 

Finance (No. 2) Bill, continued

 
 

(b)    

when those matters are ascertained, any necessary

 

adjustments must be made by making or amending

 

assessments or by repayment or discharge of tax (regardless of

 

any limitation on the time within which assessments or

 

amendments may be made).””

 


 

Peter Dowd

 

Anneliese Dodds

 

Jeff Smith

 

45

 

Parliamentary Star    

Schedule  6,  page  88,  line  32,  at end insert—

 

“Part 6

 

Returns: payment on account

 

16  (1)  

TMA 1970 is amended as follows.

 

      (2)  

After section 12AC (notice of enquiry), insert—

 

“12AD

  Requirement for payment on account

 

(1)    

In any case where notice of an enquiry has been given under section

 

12AC(1) in respect of a return, an officer of the Board may require a

 

payment on account from a partner in respect of that partner and other

 

partners (whether in respect of that return or a return for a subsequent

 

tax year).

 

(2)    

Sections 59A and 59AB apply to payments made under this section as

 

they apply to payments made under section 59A.”

 

Member’s explanatory statement

 

This amendment enables HMRC to require payments on account from partners in respect of

 

themselves to allow for unknown partners in any case where there has previously been a notice of

 

an enquiry in connection with a return.

 


 

Mel Stride

 

2

 

Schedule  10,  page  146,  line  7,  after “is” insert “—

 

(a)    

where the individual is UK resident for the year,”

 

Mel Stride

 

3

 

Schedule  10,  page  146,  line  9,  at end insert “, and

 

(b)    

where the individual is non-UK resident for the year, treated for the

 

purposes of subsection (2) (but no other purpose) as income of the

 

individual for the year, subject to subsection (5).”


 
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Revised 04 January 2018