Session 2017-19
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Other Bills before Parliament


 
 

Committee of the whole House: 20 November 2018            

8

 

Finance (No. 3) Bill, continued

 
 

To move the following Clause—

 

         

“Review of remote gambling duty

 

(1)    

The Treasury shall undertake a review of the increase in the rate of remote

 

gambling duty introduced in section (Remote gambling duty (rate)) of this Act.

 

(2)    

The review shall consider, in particular, the effects of the rate increase on—

 

(a)    

the public revenue,

 

(b)    

betting shops, and

 

(c)    

gambling related harm.

 

(3)    

The Treasury review must include independent advice on the feasibility and

 

impact of bringing forward the date of the increase in remote gaming duty to 1

 

April 2019.

 

(4)    

The Treasury review of the effects of the rate increase in remote gambling duty

 

under subsections (2) and (3) must also take into account any effects of reducing

 

to £2 the maximum stake on B2 machine games with effect from 1 April 2019.

 

(5)    

The Chancellor of the Exchequer must lay a copy of a report of the review under

 

this section before the House of Commons no later than 28 days after this Act is

 

passed.”

 

Member’s explanatory statement

 

This new clause requires the Treasury to review the feasibility and impact of bringing forward

 

from October 2019 the implementation of an increase in remote gambling duty, which is linked in

 

paragraph 3.68 of the Budget 2018 Red Book to the implementation of a £2 maximum stake on B2

 

machine games (fixed-odds betting terminals).

 

 


 

CLAUSE 15 AND SCHEDULE 3; CLAUSE 16 AND SCHEDULE 4; CLAUSES 19 AND 20;

 

CLAUSE 22 AND SCHEDULE 7; CLAUSE 23 AND SCHEDULE 8; CLAUSES 46 AND 47;

 

CLAUSE 83; ANY NEW CLAUSES OR NEW SCHEDULES RELATING TO TAX AVOIDANCE OR

 

EVASION

 

Clauses 19 and 20

 

Jeremy Corbyn

 

John McDonnell

 

Peter Dowd

 

Mr Nicholas Brown

 

Clive Lewis

 

Anneliese Dodds

Jonathan Reynolds

Lyn Brown

Thelma Walker

 

19

 

Clause  20,  page  12,  line  26,  at end insert—

 

“(8)    

The Chancellor of the Exchequer must, no later than six months after the passing

 

of this Act, lay before the House of Commons a review of the effects of the

 

changes to the controlled foreign companies regime made by this section.

 

(9)    

In circumstances in which the United Kingdom has left the European Union

 

without a negotiated withdrawal agreement, the review in subsection (8) must

 

consider the impact of this on those changes.”

 



 
 

Committee of the whole House: 20 November 2018            

9

 

Finance (No. 3) Bill, continued

 
 

CLAUSE 22 AND SCHEDULE 7

 

Jeremy Corbyn

 

John McDonnell

 

Peter Dowd

 

Jonathan Reynolds

 

Anneliese Dodds

 

Mr Nicholas Brown

Clive Lewis

Lyn Brown

Thelma Walker

 

3

 

Schedule  7,  page  223,  line  27,  at end insert—

 

    “(5)  

The Treasury shall by regulations require that a CGT exit charge payment plan

 

be published on a public register.”

 

Member’s explanatory statement

 

This amendment would require the beneficiary of a trust entering a CGT exit charge payment plan

 

to provide information about the source of its income on a public register.

 

Jeremy Corbyn

 

John McDonnell

 

Peter Dowd

 

Jonathan Reynolds

 

Anneliese Dodds

 

Mr Nicholas Brown

Clive Lewis

Lyn Brown

Thelma Walker

 

4

 

Schedule  7,  page  227,  line  13,  at end insert—

 

  “(2B)  

The Treasury shall by regulations prescribe a CGT exit charge payment plan

 

be published on a public register.”

 

Member’s explanatory statement

 

This amendment would require the beneficiary of a trust entering a CGT exit charge payment plan

 

to provide information about the source of its income on a public register.

 


 

Clause 83

 

Stella Creasy

 

Jess Phillips

 

Ruth Cadbury

 

Tonia Antoniazzi

 

Gareth Snell

 

Christine Jardine

Tulip Siddiq

Wera Hobhouse

Lucy Powell

Jo Stevens

Alex Sobel

Martin Whitfield

Caroline Lucas

Liz Saville Roberts

Jonathan Edwards

Hywel Williams

Ben Lake

Anna McMorrin

 

24

 

Clause  83,  page  60,  line  7,  at end insert—

 

“(8)    

Within 12 months of the coming into force of this section, the Treasury shall

 

report on the participation of certain persons in arrangements that are required to

 

be disclosed by regulations under this section.


 
 

Committee of the whole House: 20 November 2018            

10

 

Finance (No. 3) Bill, continued

 
 

(9)    

The persons the report under subsection (8) shall consider are companies that

 

have entered into public private partnership agreements with public sector bodies

 

that involve the payment of fees to the person in excess of £5 million over the

 

course of the agreement.

 

(10)    

In preparing the report under subsection (8), the Treasury shall in particular report

 

on—

 

(a)    

the number of persons that have participated in disclosable arrangements;

 

(b)    

the value of the public private partnership agreements such persons are

 

involved in;

 

(c)    

how many penalties for contravention or non-compliance under the

 

regulations have been imposed on such persons;

 

(d)    

the revenue lost to the Treasury through the use of disclosable

 

arrangements by such persons; and

 

(e)    

an estimation of the level to which such persons may be making use of

 

arrangements for the purpose of reducing their tax liability that the

 

Treasury considers to be similar to arrangements that are required to be

 

disclosed by regulations under this section.

 

(11)    

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

 

Commons within one calendar month of its completion.

 

(12)    

In this section, “public private partnership agreement” means an agreement that

 

includes—

 

(a)    

the provision or making available of an asset or the carrying out of works

 

for the purposes of, or in connection with, the discharge of a function of

 

the public sector body, and

 

(b)    

the provision of services for the purposes of, or in connection with, the

 

discharge of the same function

 

    

and which includes the payment of fees by instalments at annual or more frequent

 

intervals by the public sector body.

 

(13)    

For the purposes of this section—

 

“asset” means—

 

(a)    

any tangible asset, including any land, building or equipment; or

 

(b)    

any computer software;

 

“works” means the construction, enhancement, replacement or installation

 

of an asset.”

 

Jeremy Corbyn

 

John McDonnell

 

Peter Dowd

 

Mr Nicholas Brown

 

Clive Lewis

 

Anneliese Dodds

Jonathan Reynolds

Lyn Brown

Thelma Walker

 

23

 

Clause  83,  page  60,  line  8,  at end insert—

 

“(8)    

No regulations made be made under this section unless the Chancellor of the

 

Exchequer has laid before the House of Commons a report on how the powers in

 

this section are to be exercised in each of the scenarios in subsection (9).

 

(9)    

The scenarios to be considered in the report under subsection (8) are—

 

(a)    

if either of a—

 

(i)    

negotiated withdrawal agreement, or

 

(ii)    

framework for the future relationship with the European Union


 
 

Committee of the whole House: 20 November 2018            

11

 

Finance (No. 3) Bill, continued

 
 

    

have not been ratified under section 13 of the European Union

 

(Withdrawal) Act at the time of the United Kingdom ceasing to the a

 

member of the European Union, and

 

(b)    

if both of a—

 

(i)    

negotiated withdrawal agreement, or

 

(ii)    

framework for the future relationship with the European Union

 

    

have been ratified under section 13 of the European Union (Withdrawal)

 

Act at the time of the United Kingdom ceasing to the a member of the

 

European Union.”

 


 

NEW CLAUSES OR NEW SCHEDULES RELATING TO TAX AVOIDANCE OR EVASION

 

Jeremy Corbyn

 

John McDonnell

 

Peter Dowd

 

Jonathan Reynolds

 

Anneliese Dodds

 

Mr Nicholas Brown

Clive Lewis

Lyn Brown

Thelma Walker

Debbie Abrahams

 

NC5

 

To move the following Clause—

 

         

“Impact analyses of the anti-avoidance provisions of this Act

 

(1)    

The Chancellor of the Exchequer must review the impact of—

 

(a)    

section 15 and Schedule 3,

 

(b)    

section 16 and Schedule 4,

 

(c)    

sections 19 and 20,

 

(d)    

section 22 and Schedule 7,

 

(e)    

section 23 and Schedule 8,

 

(f)    

sections 46 and 47, and

 

(g)    

section 83

 

of this Act in accordance with this section and lay a report of that review before

 

the House of Commons within six months of the passing of this Act.

 

(2)    

A review under this section must consider—

 

(a)    

the impact of those provisions on child poverty,

 

(b)    

households at different levels of income,

 

(c)    

the impact of those provisions on people with protected characteristics

 

(within the meaning of the Equality Act 2010), and

 

(d)    

the impact of those provisions on different parts of the United Kingdom

 

and different regions of England.

 

(3)    

In this section—

 

“parts of the United Kingdom” means—

 

(a)    

England,

 

(b)    

Scotland,

 

(c)    

Wales, and


 
 

Committee of the whole House: 20 November 2018            

12

 

Finance (No. 3) Bill, continued

 
 

(d)    

Northern Ireland.

 

    

“regions of England” has the same meaning as that used by the Office for

 

National Statistics.”

 

Member’s explanatory statement

 

This new clause requires the Chancellor of the Exchequer to carry out and publish a review of the

 

effects of the tax avoidance provisions of the Bill on households with different levels of income, on

 

child poverty, people with protected characteristics and on a regional basis.

 


 

Jeremy Corbyn

 

John McDonnell

 

Peter Dowd

 

Jonathan Reynolds

 

Anneliese Dodds

 

Mr Nicholas Brown

Clive Lewis

Lyn Brown

Thelma Walker

 

NC6

 

To move the following Clause—

 

         

“Analysis of effectiveness of provisions on tax avoidance and evasion

 

(1)    

The Chancellor of the Exchequer must review the effectiveness of—

 

(a)    

section 15 and Schedule 3,

 

(b)    

section 16 and Schedule 4,

 

(c)    

sections 19 and 20,

 

(d)    

section 22 and Schedule 7,

 

(e)    

section 23 and Schedule 8,

 

(f)    

sections 46 and 47, and

 

(g)    

section 83

 

    

of this Act in accordance with this section and lay a report of that review before

 

the House of Commons within six months of the passing of this Act.

 

(2)    

A review under this section must consider—

 

(a)    

the effects of the provisions in reducing levels of artificial tax avoidance,

 

(b)    

the effects of the provisions in combating tax evasion, and

 

(c)    

estimates of the role of the provisions of this Act in reducing the tax gap

 

in each tax year from 2019 to 2022.”

 

Member’s explanatory statement

 

This new clause requires the Chancellor of the Exchequer to carry out and publish a review of the

 

effectiveness of the provisions of the Bill in tackling artificial tax avoidance and tax evasion, and

 

in reducing the tax gap.

 



 
 

Committee of the whole House: 20 November 2018            

13

 

Finance (No. 3) Bill, continued

 
 

Kirsty Blackman

 

Ian Blackford

 

Alison Thewliss

 

Ronnie Cowan

 

Mhairi Black

 

Patrick Grady

 

NC14

 

To move the following Clause—

 

         

“Review of effectiveness of provisions on tax avoidance

 

(1)    

The Chancellor of the Exchequer must review the effectiveness of the provisions

 

of this Act relating to tax avoidance and lay a report of that review before the

 

House of Commons within six months of the passing of this Act.

 

(2)    

In this section, “the provisions of this Act relating to tax avoidance” means—

 

(a)    

section 15 and Schedule 3,

 

(b)    

section 16 and Schedule 4,

 

(c)    

sections 19 and 20,

 

(d)    

section 22 and Schedule 7,

 

(e)    

section 23 and Schedule 8,

 

(f)    

sections 46 and 47,

 

(g)    

section 83.

 

(3)    

A review under this section must consider in particular—

 

(a)    

the effects of those provisions in reducing tax avoidance and evasion,

 

(b)    

the effect of those provisions in inducing new tax avoidance measures

 

unanticipated by the Act, and

 

(c)    

estimates of the efficacy of the provisions in reducing the tax gap in each

 

tax year from 2018-19 to 2028-29.”

 

Member’s explanatory statement

 

This new clause would require a review of the effectiveness of provisions on tax avoidance.

 


 

Kirsty Blackman

 

Ian Blackford

 

Alison Thewliss

 

Ronnie Cowan

 

Mhairi Black

 

Patrick Grady

 

NC15

 

To move the following Clause—

 

         

“Report on consultation on certain provisions of this Act (No. 4)

 

(1)    

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

 

Exchequer must lay before the House of Commons a report on the consultation

 

undertaken on the provisions in subsection (2).

 

(2)    

Those provisions are—

 

(a)    

section 15 and Schedule 3,

 

(b)    

section 16 and Schedule 4,

 

(c)    

sections 19 and 20,

 

(d)    

section 22 and Schedule 7,


 
 

Committee of the whole House: 20 November 2018            

14

 

Finance (No. 3) Bill, continued

 
 

(e)    

section 23 and Schedule 8,

 

(f)    

sections 46 and 47,

 

(g)    

section 83.

 

(3)    

A report under this section must specify in respect of each provision listed in

 

subsection (2)—

 

(a)    

whether a version of the provision was published in draft,

 

(b)    

if so, whether changes were made as a result of consultation on the draft,

 

(c)    

if not, the reasons why the provision was not published in draft and any

 

consultation which took place on the proposed provision in the absence

 

of such a draft.”

 

Member’s explanatory statement

 

This amendment would require a report on consultation undertaken on certain provisions of this

 

Act – alongside new clauses 9, 11 and 13.

 

 

Order of the House [12 November 2018]

 

That the following provisions shall apply to the Finance (No.3) Bill:

 

Committal

 

1.    

The following shall be committed to a Committee of the whole House—

 

(a)    

Clauses 5, 6, 8, 9 and 10 (income tax thresholds and reliefs);

 

(b)    

Clause 15 and Schedule 3 (offshore receipts in respect of intangible

 

property);

 

(c)    

Clause 16 and Schedule 4 (avoidance involving profit fragmentation

 

arrangements);

 

(d)    

Clause 19 (hybrid and other mismatches: scope of Chapter 8 and

 

“financial instrument”);

 

(e)    

Clause 20 (controlled foreign companies: finance company

 

exemption and control);

 

(f)    

Clause 22 and Schedule 7 (payment of CGT exit charges);

 

(g)    

Clause 23 and Schedule 8 (corporation tax exit charges);

 

(h)    

Clause 38 and Schedule 15 (entrepreneurs’ relief);

 

(i)    

Clauses 39 and 40 (gift aid and charities);

 

(j)    

Clauses 41 and 42 (stamp duty land tax: first-time buyers in cases of

 

shared ownership);

 

(k)    

Clauses 46 and 47 (stamp duty and SDRT);

 

(l)    

Clauses 61 and 62 and Schedule 18 (remote gaming duty and gaming

 

duty);

 

(m)    

Clauses 68 to 78 (carbon emissions tax);

 

(n)    

Clause 83 (international tax enforcement: disclosure arrangements);

 

(o)    

Clause 89 (minor amendments in consequence of EU withdrawal);

 

(p)    

Clause 90 (emissions reduction trading scheme: preparatory

 

expenditure);

 

(q)    

any new Clauses or new Schedules relating to—

 

    

          (i) tax thresholds or reliefs,

 

    

          (ii) the subject matter of any of clauses 68 to 78, 89 and 90,

 

    

             (iii) gaming duty or remote gaming duty, or

 

    

         (iv) tax avoidance or evasion.

 

2.    

The remainder of the Bill shall be committed to a Public Bill Committee.


 
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Revised 20 November 2018