S.C.B.
Amendment Paper as at
Tuesday 20th May 2003
STANDING COMMITTEE B
New Amendments handed in are marked thus *
FINANCE BILL
(Except Clauses 1, 4, 5, 9, 14, 22, 42, 56, 57, 124, 130 to 135, 138, 139, 148 and 184 and Schedules 5, 6, 19 and 25, and any new Clauses and Schedules tabled by Friday 9th May 2003 relating to excise duty on spirits or R&D tax credits for oil exploration.)
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
89
Schedule 1, page 142, line 7, at end insert—
'(6) Where—
| (a) | a person who is not its issuer makes a supply of a face-value voucher, |
| (b) | that supply is chargeable by virtue of the previous provisions of this paragraph and is not an exempt supply by virtue of those provisions, and |
| (c) | the consideration given by him for the voucher is by virtue of paragraph 4(2) not chargeable or not on its full amount, |
that person shall be treated for the purposes of this Act as if the consideration given by him for the supply to him of the voucher, insofar as that consideration was not actually chargeable, included tax at the relevant rate.'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
90
Schedule 1, page 143, line 1, leave out paragraph 4 and insert—
'4(1) Subject to sub-paragraph (2), the amendments made by this Schedule apply to supplies of tokens, stamps or vouchers issued on or after 9th April 2003.
(2) The amendments made by this Schedule shall not apply to the supply of any token, stamp or voucher issued pursuant to a contract made before 9th April 2003 between the issuer and the person to whom he issues it, unless those persons were on 8th April 2003 connected with each other within the meaning of section 839 of the Income and Corporation Taxes Act 1988.'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
91
Schedule 2, page 149, line 26, leave out 'Records' to end of line 27 and insert 'under sub-paragraph (3) above must be made available electronically'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
92
Schedule 2, page 152, line 45, at end insert 'see regulation 190 of the Value Added Tax Regulations 1995'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
125
Clause 26, page 22, line 3, leave out subsection (3)
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
123
Clause 34, page 26, line 23, leave out 'given' and insert 'issued by the taxpayer'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
124
Clause 34, page 26, line 26, leave out 'given' and insert 'issued by the Commissioners.'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
131
Clause 35, page 27, line 13, leave out 'confirmed the decision' and insert 'varied the decision as requested by the applicant'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
132
Clause 35, page 27, line 15, leave out from 'which' to end of line 18 and insert—
| (a) | the notice requiring a review issued by the person or his representative in accordance with section 33 is received by the Commissioners, or |
| (b) | the review is agreed to by the Commissioners as mentioned in section 34(4).'. |
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
120
Clause 36, page 27, line 25, leave out '(including any confirmation under section 35(4))'.
Mr Paul Boateng
158
Clause 37, page 28, line 4, leave out '35' and insert '36'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
99
Clause 147, page 85, line 29, leave out 'business of the company' and insert 'company's trade'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
100
Clause 147, page 85, line 32, leave out 'do business' and insert 'engage in trading activities'.
Mr Michael Howard
Mr Howard Flight [R]
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
101
Clause 147, page 85, line 33, at end insert—
'(1A) For the purposes of subsection (1)(b) an agent can only be a person who has authority to and does enter into arrangements on behalf of that person's principal which are contractually binding on that principal.'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
3
Clause 147, page 85, line 44, leave out paragraph (h) and insert—
'(2A) A building site or construction or installation project constitutes a permanent establishment only if it lasts more than twelve months.'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
95
Clause 149, page 89, line 15, at end insert—
'(3A) Where the UK representative of a non-resident company is a person separate from that company it shall be entitled—
| (a) | to be indemnified in respect of any liability that it discharges as mentioned in subsection (3)(a) above; and |
| (b) | to retain, out of any sums otherwise due from it to the non-resident company, or received by it on behalf of the non-resident company, amounts sufficient for meeting any obligations or liabilities that he has under subsection (1) above or has discharged as mentioned in subsection (3)(a) above. |
(3B) The obligations relating to the furnishing of information which are imposed by this section on the UK representative in a case where that representative is an independent agent shall not require that representative to do anything except so far as it is practicable for the representative to do so by acting to the best of his knowledge and belief after having taken all reasonable steps to obtain the necessary information.
(3C) Subsection (3B) above shall not have the effect of discharging the non-resident company from any obligation to furnish information in a case where that obligation has been discharged by its UK representative by virtue only of subsection (3B) above.'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
96
Clause 149, page 89, line 34, at end insert—
'"independent agent", in relation to a non-resident company, means any person who is the non-resident company's UK representative in respect of any agency from the non-resident company in which he was acting on the non-resident's behalf in an independent capacity; and a person shall not be regarded as acting in an independent capacity on behalf of a non-resident company unless, having regard to its legal, financial and commercial characteristics, the relationship between them is a relationship between persons carrying on independent businesses that deal with each other at arm's length;'.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
97
Clause 150, page 90, leave out lines 5 to 7.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
92A
Schedule 26, page 344, leave out lines 36 to 38 and insert—
'(c) either—
| (i) | the remuneration he receives in respect of the transaction for the provision of the services of a broker to the non-resident company is not less than is customary for that class of business; or |
| (ii) | he acts on behalf of the non-resident company in relation to the transaction in an independent capacity; and'. |
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
93
Schedule 26, page 345, leave out lines 12 and 13 and insert—
'(c) either—
| (i) | the remuneration he receives in respect of the transaction for the provision to the non-resident company of investment management services is not less than is customary for that class of business; or |
| (ii) | he acts on behalf of the non-resident company in relation to the transaction in an independent capacity; and'. |
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
94
Schedule 26, page 345, leave out lines 15 to 17.
Mr Michael Howard
Mr Howard Flight
Mr Stephen O'Brien
Mr Mark Prisk
Mr David Wilshire
98
Page 92, line 16, leave out Clause 155.
