S.C.H.
Amendment Paper as at
Thursday 25th May 2000
STANDING COMMITTEE H
FINANCE BILL
(Except Clauses 1, 12, 30, 31, 59, 102 and 113)
NOTE
The Amendments have been arranged in accordance with the Order of the Committee [4th May] as follows:
Clauses 2 to 6, Schedule 1, Clauses 7 to 11, Clauses 13 to 15, Clause 28, Clauses 16 and 17, Schedule 2, Clauses 18 to 22, Schedule 3, Clause 23, Schedule 4, Clause 24, Schedule 5, Clauses 25 to 27, Clause 29, Schedules 6 and 7, Clauses 32 to 47, Schedule 8, Clause 48, Schedule 9, Clauses 49 to 55, Clause 134, Clause 56, Schedule 10, Clauses 57 and 58, Schedule 11, Schedule 12, Clause 60, Schedule 13, Clause 61, Schedule 14, Clause 62, Schedules 15 and 16, Clause 63, Schedule 17, Clause 64, Schedule 18, Clauses 65 to 67, Schedule 19, Clause 68, Schedules 20 and 21, Clauses 69 to 81, Schedule 22, Clauses 82 to 86, Schedule 23, Clauses 87 to 90, Schedule 24, Clause 91, Schedules 25 and 26, Clauses 92 to 96, Schedule 27, Clause 97, Schedule 28, Clauses 98 to 101, Schedule 29, Schedule 30, Clause 103, Schedule 31, Clauses 104 to 112, Clauses 114 and 115, Schedule 32, Clause 116, Schedule 33, Clauses 117 to 127, Schedule 34, Clauses 128 to 131, Schedule 35, Clause 132, Schedule 36, Clause 133, Clauses 135 to 138, Schedule 37, Clause 139, Schedule 38, Clauses 140 to 144, Schedule 39, Clauses 145 to 149, New Clauses, New Schedules, Clauses 150 and 151, Schedule 40, Clause 152.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
133
Clause 47, page 34, line 23, after 'effect' add 'from the day on which stamp duty ceases to be chargeable on the conveyance or transfer of stock or marketable securities (within the meaning of Schedule 13 to the Finance Act 1999)'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
135
Schedule 8, page 228, line 41, after 'company' insert 'and the trustees'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
136
Schedule 8, page 230, leave out lines 1 to 10 and insert
'No loss of benefit entitlement
38. For the purposes of an employee's entitlement to social security benefits, statutory sick pay and statutory maternity pay, the employee shall be treated for all purposes of the Social Security Acts as if he duly paid national insurance contributions on his salary at the level he would have paid them had deductions not been made under a partnership share agreement with him.'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
137
Schedule 8, page 233, line 24, after 'Schedule.' insert 'Where an individual's emoluments are not liable to deduction under section 203 "salary" shall mean such emoluments as would have been liable to deduction under section 203 had the individual held an office or employment assessable to income tax under Schedule E or was not otherwise exempt from such deduction.'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
138
Schedule 8, page 234, line 10, leave out from beginning to end of line 42 on page 235 and insert—
'Dividends
53. The first £1,500 of dividends received in any tax year in respect of plan shares held on behalf of a participant shall not be subject to any additional charge to tax. Dividends received on plan shares held on behalf of a participant may be applied by that participant in the acquisition of partnership shares.'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
134
Schedule 8, page 236, line 22, leave out from 'not' to end of line 25 and insert 'a dependent subsidiary within the meaning of section 86 to the Finance Act 1988'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
140
Schedule 8, page 242, line 18, after 'income tax', insert 'and national insurance'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
141
Schedule 8, page 242, line 24, at end insert—
'(3) For the purposes of section 8 to the Social Security Contributions and Benefits Act 1992 the earnings at any time in respect of any plan shares shall be:
(a) for free shares or matching shares, the market value of those shares on the day that they were awarded to the earner; and
(b) for partnership shares, the deductions used to acquire them.'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
139
Schedule 8, page 246, line 31, leave out from beginning to end of line 7 on page 248.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
125
Schedule 9, page 264, leave out lines 4 to 10 and insert 'if they were held by the claimant would have been business assets of his within the meaning of section 2A'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
126
Schedule 9, page 264, line 33, leave out '(a)'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
127
Schedule 9, page 264, leave out lines 35 to 37.
Mr David Heathcoat-Amory[R]
Mr Richard Ottaway
Mr Howard Flight[R]
132
Clause 50, page 35, line 12, leave out '6th April 2002' and insert '31st December 2002'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
124
Clause 50, page 35, line 20, leave out '6th April 2002' and insert '31st December 2002'.
Mr David Heathcoat-Amory[R]
Mr Richard Ottaway
Mr Howard Flight[R]
131
Clause 54, page 38, line 4, at end insert 'if a qualifying employee share ownership trust within the meaning of Schedule 5 to the Finance Act 1989 cannot be established on or after 6th April 2001'.'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
120
Clause 55, page 38, leave out lines 10 to 17 and insert—
'(e) the expiry of the period in subsection (5A) below, where the trustees make a qualifying transfer within subsection (3AA) below and do not during that period expend on one or more qualifying purposes a sum of not less than such consideration (if any) as they receive for such transfer.'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
121
Clause 55, page 38, line 26, after 'not', insert 'manifestly'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
117
Clause 55, page 39, line 4, after 'by', insert ', or to the order of, or committed or resolved to be paid to or held to the order of'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
118
Clause 55, page 39, line 6, after 'account', insert 'or otherwise held on deposit with an equivalent financial institution in another jurisdiction.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
119
Clause 55, page 39, line 7, after 'made by', insert 'or by the order of or on behalf of'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
123
Clause 55, page 39, line 11, after '"or (e)"', insert 'and after "(e) the meeting of expenses" insert—
"(f) the making of gifts to the trustees of the plan trust of an employee share ownership plan approved under Schedule 8 to the Finance Act 2000".'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
122
Clause 55, page 39, line 20, at end insert—
'(5A) After subsection (12) (definitions for the purpose of section 69) insert—
"(13) for the avoidance of doubt, the occasion of a qualifying transfer within subsection (3AA) above shall not be a disposal by the trustees for the purposes of the taxation of chargeable gains Act 1992".'.
Mr David Heathcoat-Amory [R]
Mr Richard Ottaway
Mr Howard Flight [R]
142
Clause 56, page 39, line 35, at end insert—
'(3) In section 4(a) of the Social Security Contributions and Benefits Act 1992 after ("the 1988 Act") insert "up to a maximum equal to the difference between the upper earnings limit and the lower earnings limit for that tax year for the purposes of section 5 below, starting with the tax year 2000-01".'.
Mr David Heathcoat-Amory
Mr Richard Ottaway
Mr Howard Flight [R]
162
Clause 57, page 39, line 36, at beginning insert—
'(1) In subsection (1) of section 200B of the Taxes Act 1988 (work-related training) after "expenditure on providing" insert "or procuring".
(2)'.
