Consideration of Bill: 1st July 2008

2913

Finance Bill, continued

New Clauses relating to vehicle excise duty and fuel duties

Vehicle excise duty: variation of graduated rates for light passenger vehicles

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

Mr Brooks Newmark

NC3

To move the following Clause:—

‘(1)	The Treasury may by regulations made by statutory instrument vary the table in

paragraph 1B (graduated rates for light passenger vehicles) of Schedule 1 to

VERA (annual rates of duty).

(2)	A statutory instrument containing regulations under this section may not be made

unless a draft of the instrument has been laid before and approved by a resolution

of the House of Commons.

(3)	The power conferred by subsection (1) does not extend to the ending of different

provision for vehicles first registered after 1 March 2001 and before 23 March

2006 and with a CO2 emissions figure exceeding 185 g/km.’.

Vehicle mileage costs

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

NC7

To move the following Clause:—

‘The Treasury shall publish annually alongside the Pre-Budget report an estimate

of the average cost of operating a motor vehicle (including associated running

costs and depreciation) per mile for a vehicle driving 10,000 miles per year for—

(a)	a vehicle registered before 1st March 2001 paying a pre-graduated

Vehicle Excise Duty with an engine size 1549cc below;

(b)	a vehicle registered before 1st March 2001 paying pre-graduated Vehicle

Excise Duty with an engine size above 1549cc; and

(c)	a vehicle registered after 1st March 2001 liable to pay graduated Vehicle

Excise Duty in each of the VED bands A-M with effect from 1st april

2009.’.

Consideration of Bill: 1st July 2008

2914

Finance Bill, continued

Fuel duties: rates and rebates: general fuel duty regulator

Mr Stewart Hosie

Mr Elfyn Llwyd

Mr Alex Salmond

Angus Robertson

Mr Mike Weir

Pete Wishart

Total signatories: 9

Mr Angus MacNeil

Adam Price

Hywel Williams

NC8

To move the following Clause:—

‘(1)	HODA 1979 is amended as follows.

(2)	In section 6 (excise duty on hydrocarbon oil) after subsection (1A) (as substituted

by section 11 of this Act) insert—

“(1AA)

In every Budget Statement and pre-Budget Statement the Chancellor of

the Exchequer must provide a forecast for oil prices and set out

anticipated yield from fuel duty and VAT on fuel for that price and for a

range of prices up to 50 per cent. above his forecast.

(1AB)

The Treasury must, following each such statement, by regulations made

by statutory instrument reduce the rates of duty specified in subsection

(1A) in direct proportion to the increase in the costs accounted for by

VAT.

(1AC)

Whenever international oil prices rise above the level estimated by the

forecast made in accordance with subsection (1AA), indexed fuel duty

increases shall not take effect until the international oil prices return to

the forecast level or the forecast price is amended by the next Budget or

pre-Budget Statement.”’.

Fuel duties: rates and rebates: road hauliers and remote rural areas

Mr Stewart Hosie

Mr Elfyn Llwyd

Mr Alex Salmond

Angus Robertson

Mr Mike Weir

Pete Wishart

Total signatories: 9

Mr Angus MacNeil

Adam Price

Hywel Williams

NC9

To move the following Clause:—

‘(1)	HODA 1979 is amended as follows.

(2)	In section 6 (excise duty on hydrocarbon oil) after subsection (1A) (as substituted

by section 11 of this Act) insert—

Consideration of Bill: 1st July 2008

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Finance Bill, continued

“(1AA)

In every Budget Statement and pre-Budget Statement the Chancellor of

the Exchequer must provide a forecast for oil prices and set out

anticipated yield from fuel duty and VAT on fuel for that price and for a

range of prices up to 50 per cent. above his forecast.

(1AB)

The Treasury must—

(a)	following each such statement, by regulations made by statutory

instrument reduce the rates of duty specified in subsection (1A)

in direct proportion to the increase in the cost accounted for by

VAT;

(b)	provide a mechanism to pay the reduction directly to road

hauliers with an ‘O’ licence including a restricted licence, a

standard licence or a standard international licence;

(c)	bring forward proposals not later than the pre-Budget Statement

2008 to provide specific fuel duty reductions targeted at fuel sold

in remote rural areas.

(1AC)

Whenever international oil prices rise above the level estimated by the

forecast made in accordance with subsection (1AA), indexed fuel duty

increases shall not take effect until the international oil prices return to

the forecast level or the forecast price is amended by the next Budget or

pre-Budget Statement.”’.

Remote rural fuel discount scheme

John Thurso

Danny Alexander

Mr Charles Kennedy

Mr Alan Reid

Mr Alistair Carmichael

Sir Robert Smith

Total signatories: 7

NC14

To move the following Clause:—

‘(1)	The Treasury shall by regulations provide for the introduction, by no later than 1

April 2009, of a remote rural fuel discount scheme.

(2)	The purpose of the scheme is to provide a rebate on road fuel duty at qualifying

retail outlets in qualifying areas to reduce the premium paid for fuel in such areas

over the national average.

(3)	Qualifying retail outlets under subsection (2) are outlets located in qualifying

areas meeting any criteria as defined under subsection (4).

(4)	Qualifying areas are remote rural areas as may be defined by regulations under

subsection (4).

(5)	Regulations under subsection (1) may—

(a)	specify the amount of the fuel duty rebate;

(b)	define “remote rural areas”;

(c)	define qualifying retail outlets, including any restriction;

(d)	specify how the rebate is to be applied, including—

(i)	authorising HMRC to define procedures and conduct audits, and

Consideration of Bill: 1st July 2008

2916

Finance Bill, continued

(ii)	how any administrative costs are to be defrayed;

(e)	provide for it to be an offence for a person fraudulently to supply or sell

rebated fuel other than as proscribed by these regulations;

(f)	provide for a system of registration of eligible retail outlets;

(g)	provide for the scheme to be administered in Scotland by the Scottish

Executive and in Wales by the Welsh Ministers.’.

amendments relating to clauses 15 and 7 and schedules 7 and 17

Mr Alan Reid

Mr Roger Williams

John Thurso

Sir Alan Beith

Mr David Heath

Tim Farron

Total signatories: 8

9

Page  8,  line  9  [Clause  15],  at end insert—

‘(3A)

In paragraph 1C (the reduced rate)—

(a)	in sub-paragraph (1) for “or C” substitute “C or D”;

(b)	after sub-paragraph (4) insert—

“(4A)

Condition D is that the vehicle is an off-road working

vehicle.”;

(c)	in sub-paragraph (6) insert at the appropriate place—

““off-road working vehicle” means, subject to any provision which

may be made by the Treasury in regulations made by statutory

instrument, any vehicle which is used primarily for business

purposes off adopted roads,”.’.

Mr Jeremy Browne

Dr Vincent Cable

Mr Colin Breed

Dr John Pugh

7

Page  8,  line  21  [Clause  15],  leave out from ‘to’ to end of line 22 and insert ‘any

licence taken out in respect of a vehicle first acquired on or after 13 March 2008.

(7)	In this section “first acquired”, in relation to a vehicle means acquisition when it

has not previously been owned.’.

Mr Chancellor of the Exchequer

22

Page  41,  line  38  [Clause  75],  at end insert ‘and

(b)	in section 50(3) of ITTOIA 2005 (cases in which expenses incurred on

hiring car with low carbon dioxide emissions are not excluded from

section 48 of that Act), for “2008” substitute “2013”.’.

Consideration of Bill: 1st July 2008

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Finance Bill, continued

Mr Chancellor of the Exchequer

23

Page  41,  line  44  [Clause  75],  leave out ‘applies’ and insert ‘and section 50 of

ITTOIA 2005 apply’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

13

Page  156,  line  35  [Schedule  7],  leave out ‘must be’ and insert ‘will be deemed to

be’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

14

Page  156,  line  42  [Schedule  7],  at end insert—

‘(5A)

Where the relevant tax increase exceeds £30,000—

(a)	the nomination will be valid but the charge will be capped at £30,000;

(b)	the individual will be notified that the cap has been enforced and will

have the opportunity to revise the nomination of foreign income and

gains;

(c)	a revised nomination is not necessary for the remittance basis claim to

be valid for the tax year.’.

Mr Chancellor of the Exchequer

40

Page  162,  line  15  [Schedule  7],  after ‘property,’, insert ‘service’.

Mr Chancellor of the Exchequer

41

Page  162,  line  17  [Schedule  7],  leave out from ‘property’ to end of line 21 and

insert ‘, service or consideration—

(i)	derives (wholly or in part, and directly or indirectly)

from the income or chargeable gains, and

(ii)	in the case of property or consideration, is property of

or consideration given by a relevant person,’.

Consideration of Bill: 1st July 2008

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Finance Bill, continued

Mr Chancellor of the Exchequer

42

Page  163  [Schedule  7],  leave out lines 14 to 16.

Mr Chancellor of the Exchequer

43

Page  166,  line  16  [Schedule  7],  after ‘property’, insert ‘, service’.

Mr Chancellor of the Exchequer

44

Page  166,  line  19  [Schedule  7],  after ‘property’, insert ‘, service’.

Mr Chancellor of the Exchequer

45

Page  166,  line  21  [Schedule  7],  after ‘property’, insert ‘, service’.

Mr Chancellor of the Exchequer

46

Page  169,  line  2  [Schedule  7],  at end insert—

‘(8)	References in this section and section 809R to anything deriving from

income or capital within paragraph (i) of subsection (4) do not

include—

(a)	income or gains within any of paragraphs (a) to (h) of that

subsection, or

(b)	anything deriving from such income or gains.’.

Mr Chancellor of the Exchequer

47

Page  169  [Schedule  7],  leave out lines 6 to 16 and insert—

‘(2)	Treat property which derives wholly or in part (and directly or

indirectly) from an individual’s income or capital for a tax year as

consisting of or containing that income or capital.

(3)	If a debt relating (wholly or in part, and directly or indirectly) to

property is at any time satisfied (wholly or in part) by—

(a)	an individual’s income or capital for a tax year, or

(b)	anything deriving (directly or indirectly) from such income or

capital,

from that time treat the property as consisting of or containing the

income or capital if and to the extent that it is just and reasonable to do

so.’.

Mr Chancellor of the Exchequer

48

Page  169  [Schedule  7],  leave out lines 23 and 24.

Consideration of Bill: 1st July 2008

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Finance Bill, continued

Mr Chancellor of the Exchequer

49

Page  169,  line  34  [Schedule  7],  at end insert—

‘(7A)

In this section ‘mixed fund’ means money or other property containing

or deriving from—

(a)	more than one of the kinds of income and capital mentioned

in section 809Q(4), or

(b)	income or capital for more than one tax year.

(7B)	If section 809Q applies in relation to part of a transfer, apply that

section in relation to that part before applying subsection (4) in

relation to the rest of the transfer.’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

15

Page  169,  line  40  [Schedule  7],  leave out from beginning to end of line 13 on page

170.

Mr Chancellor of the Exchequer

50

Page  170,  line  22  [Schedule  7],  leave out ‘sections 809L to 809R’ and insert ‘this

Chapter’.

Mr Chancellor of the Exchequer

51

Page  171,  line  5  [Schedule  7],  leave out ‘taken to be’ and insert ‘regarded as’.

Mr Chancellor of the Exchequer

52

Page  171,  line  15  [Schedule  7],  after ‘met’, insert ‘; but this is subject to subsection

(4A)’.

Mr Philip Hammond

Mr Mark Hoban

Mr David Gauke

Justine Greening

20

Page  171,  line  16  [Schedule  7],  after ‘service’, insert ‘as defined in accordance

with subsection (4A)’.

Mr Chancellor of the Exchequer

53

Page  171,  line  21  [Schedule  7],  at end insert—

---

Revised 1 July 2008