S.C.F.
Amendment Paper as at
Thursday 16th May 2002
STANDING COMMITTEE F
New Amendments handed in are marked thus *
FINANCE BILL
(Except Clauses 4, 19, 23, 26 to 29, 87 to 92, 131 and 134 and Schedules 1, 5 and 38)
NOTE
The Amendments have been arranged in accordance with the Order of the Committee [14th May], as follows:—
Clauses 1 to 3, Clause 5, Schedule 2, Clause 6, Schedule 3, Clauses 7 to 12, Schedule 4, Clauses 13 to 18, Clauses 20 to 22, Clauses 24 and 25, Clauses 30 to 33, Clause 36, Clauses 34 and 35, Clause 37, Schedule 6, Clause 39, Clause 38, Clauses 40 to 42, Schedule 7, Clause 43, Schedule 8, Clause 44, Schedule 9, Clauses 45 and 46, Schedule 10, Clauses 47 to 50, Schedule 11, Clause 51, Clause 117, Clause 52, Schedule 12, Clause 53, Schedules 13 and 14, Clauses 54 and 55, Schedule 15, Clause 56, Schedules 16 and 17, Clause 57, Schedule 18, Clause 58, Schedule 19, Clauses 59 and 60, Schedule 20, Clauses 61 and 62, Schedule 21, Clause 63, Schedule 22, Clauses 64 to 66, Clause 101, Clauses 67 to 78, Schedule 23, Clause 79, Schedule 24, Clauses 80 and 81, Schedule 25, Clause 82, Schedules 26 to 28, Clauses 102 and 103, Clause 105, Clause 83, Schedules 29 and 30, Clause 104, Clause 84, Schedule 31, Clause 85, Schedule 32, Clause 86, Clauses 93 to 100, Clauses 106 and 107, Schedule 33, Clauses 108 and 109, Schedule 34, Clauses 110 and 111, Schedule 35, Clauses 112 to 114, Schedule 36, Clauses 115 and 116, Clauses 118 to 129, Schedule 37, Clause 130, Clauses 132 and 133, Clauses 135 to 140, New Clauses, New Schedules, Schedule 39.
Mr Michael Jack
32
Clause 15, page 10, line 20, at end insert—
'( ) In paragraph 1B(b) of Schedule 1 to the Vehicle Excise and Registration Act 1994 (c. 22) the words "or the premium rate" are omitted.'.
Mr Michael Jack
33
Clause 15, page 10, line 21, leave out 'the Vehicle Excise and Registration Act 1994 (c. 22)' and insert 'that Act'.
Mr Michael Jack
3
Clause 15, page 10, line 27, leave out column 5.
Mr Michael Jack
34
Clause 15, page 10, line 35, at end insert—
'(1A) In paragraph 1D of Schedule 1 to that Act, the words "and is not liable to the premium rate" are omitted.
(1B) Paragraph 1E of Schedule 1 to that Act is omitted.'.
Mr Michael Howard [R]
Mr John Bercow
Mr Howard Flight [R]
Mr Christopher Chope
Mr Peter Luff
7
Clause 30, page 22, line 3, at end add—
'(2) In respect of that and subsequent financial years, if the retail prices index for the month of September preceding a financial year is higher than it was for the previous September, then, unless Parliament otherwise determines:
| (a) | section 13(3) and section 13AA(4) of the Taxes Act 1988 ("the relevant provisions") shall have effect for that year as if for each of the amounts specified in the relevant provisions as they applied for the previous year (whether by virtue of this section or otherwise) there were substituted higher amounts; |
| (b) | such higher amounts shall be arrived at by increasing the respective amounts for the previous financial year by the same percentage as the percentage increase in the retail prices index; and |
| (c) | if the results are not (in the case of section 13(3) of the Taxes Act 1988) multiples of £10,000 or (in the case of section 13AA(4) of the Taxes Act 1988) multiples of £1,000, rounding them up to the nearest respective amounts which are such multiples.'. |
Mr Michael Howard
Mr John Bercow
Mr Howard Flight
Mr Christopher Chope
Mr Peter Luff
35
Clause 31, page 22, line 5, at the beginning insert—
'(1) An individual subject to income tax on profits or gains under Schedule D Case I or II shall be entitled to claim relief in respect of tax on those profits or gains which corresponds to the difference between the income tax otherwise payable and the corporation tax which would have been payable and the corporation tax which would have been payable by a company on such profits or gains taking into account sections 13 and 13AA of the Taxes Act 1988 (small companies relief and corporation tax starting rate), provided that:
| (a) | profits or gains in excess of the lower relevant maximum amount (as defined in section 13 of the Income and Corporation Taxes Act 1988) shall be disregarded for the purposes of calculating any relief under this subsection; and |
| (b) | individuals in partnership shall be treated as if they were associated companies for the purposes of the said section 13; and |
| (c) | such relief shall only relate to profits which have been retained within the relevant trade, profession or vocation. The Treasury shall have power under regulations to specify the situations in which profits shall be regarded as having been retained within a trade, profession or vocation. |
(2)'.
Mr Michael Howard
Mr John Bercow
Mr Howard Flight
Mr Christopher Chope
Mr Peter Luff
8
Clause 34, page 23, line 10, at end insert 'or, where expenditure on the car in question is first-year qualifying expenditure within the meaning of section 45D of the Capital Allowances Act 2001 (cars with low carbon dioxide emissions), £10,000'.
Mr Michael Howard
Mr John Bercow
Mr Howard Flight
Mr Christopher Chope
Mr Peter Luff
37
Clause 34, page 23, line 14, leave out subsection (3).
Mr Michael Howard
Mr John Bercow
Mr Howard Flight
Mr Christopher Chope
Mr Peter Luff
10
Clause 34, page 23, leave out lines 35 to 37.
Mr Michael Howard
Mr John Bercow
Mr Howard Flight [R]
Mr Christopher Chope
Mr Peter Luff
15
Schedule 6, page 141, line 2, at end insert—
'1A At the end of that section insert—
"(10) Where tax is chargeable on any gain under this section by reason of the exercise of any right then that tax shall be payable as if that gain had been made in the year of assessment in which the person concerned disposes of the shares acquired on the exercise of that right, and sections 202A to 207 inclusive shall be applied accordingly.".'.
Mr Michael Howard
Mr John Bercow
Mr Howard Flight
Mr Christopher Chope
Mr Peter Luff
16
Schedule 6, page 141, leave out lines 20 to 24.
Mr Michael Howard
Mr John Bercow
Mr Howard Flight
Mr Christopher Chope
Mr Peter Luff
14
Clause 38, page 24, line 35, leave out from 'payment)' to end of line 28 on page 25 and insert 'in step Three of paragraph 7 after "by the worker out of those emoluments" add "and deduct also all allowances and the effect of all reliefs to which the worker would be entitled were he the employee of the client in employment assessable to income tax under Schedule E".'.
Mr Mark Hoban
39
Schedule 8, page 153, line 5, leave out '10' and insert '5'.
Mr Mark Hoban
40
Schedule 8, page 153, line 7, leave out '10' and insert '5'.
Mr Michael Howard [R]
Mr John Bercow
Mr Howard Flight [R]
Mr Christopher Chope
Mr Peter Luff
38
Schedule 8, page 169, line 41, at end insert—
'Part 6
Clearance Procedure
40 (1) Paragraphs 1, 2 or 3 of this Schedule shall be deemed to have effect (and the requirements mentioned therein shall be deemed to have been met), in relation to an investing company where the Board have, on the application of the investing company, notified the investing company concerned that the Board are satisfied that the exemptions in paragraphs 1, 2 or 3 of this Schedule apply to that investing company and that the requirements mentioned in paragraphs 1, 2 or 3 have been met.
(2) Any application under sub-paragraph (1) above shall be in writing and shall contain particulars of the operations or transactions that are to be effected by the applicant and the Board may, within 30 days of receipt of the application or of any further particulars previously required under this sub-paragraph, by notice require the applicant to furnish further particulars for the purpose of enabling the Board to make their decision; and if such notice is not complied with within 30 days or such longer period as the Board may allow, the Board need not proceed further on the application.
(3) The Board shall notify their decision to the applicant within 30 days of receiving the application or, if they give notice under sub-paragraph (2) above, within 30 days of the notice being complied with.
(4) If the Board notify the applicant that they are not satisfied as mentioned in sub-paragraph (1) above or do not notify their decision to the applicant within the time required by sub-paragraph (3) above, the applicant may within 30 days of the notification or of that time require the Board to transmit the application, together with any notice given and further particulars furnished under sub-paragraph (2) above, to the Special Commissioners; and in that event any notification by the Special Commissioners shall have effect for the purposes of sub-paragraph (1) above as if it were a notification by the Board.
(5) If any particulars furnished under this paragraph do not fully and accurately disclose all facts and considerations material for the decision of the Board or the Special Commissioners, any resulting notification that the Board or Commissiones are satisfied as mentioned in sub-paragraph (1) above shall be void.'.
