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Notices of Amendments: 8 July 2010                     

14

 

Finance Bill, continued

 
 

Jon Trickett

 

Mr Dai Havard

 

Kelvin Hopkins

 

Jeremy Corbyn

 

Mrs Linda Riordan

 

Katy Clark

 

Caroline Lucas

 

Paul Blomfield

 

3

 

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

In subsections (3) and (4) above “a specified date” means a date specified by the

 

Treasury by an order made by Statutory Instrument, which may not be made

 

until—

 

(a)    

an impact assessment of the effect of this section and Schedule 2 has been

 

laid before the House of Commons; and

 

(b)    

a draft of the order has been laid before, and approved by resolution of,

 

the House of Commons.’.

 

Chris Leslie

 

23

 

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

The rate of value added tax shall remain at 17.5 per cent. on children’s prams,

 

cots, toys, high chairs, babies bottles, nappies, children’s sanitary products and

 

teething-related goods.’.

 

Owen Smith

 

25

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

The Chancellor of the Exchequer must, prior to the introduction of the change to

 

the rate of VAT specified in subsection (1) above on the date specified in

 

subsections (3) and (4) above, compile and lay before the House of Commons a

 

report containing an assessment of the impact of the increase in VAT on—

 

(a)    

the disposable income of low-income households,

 

(b)    

people with physical and mental disabilities,

 

(c)    

the competiveness of the UK Retail Sector,

 

(d)    

the competiveness of the UK construction industry,

 

(e)    

the NHS, and

 

(f)    

local government.’.

 

Owen Smith

 

26

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

The Chancellor of the Exchequer must, prior to the introduction of the change to

 

the rate of VAT specified in subsection (1) above on the date specified in

 

subsections (3) and (4) above, compile and lay before the House of Commons a

 

review of the administration and availability of existing rate reliefs for items used

 

by disabled people.’.

 

Owen Smith

 

27

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—


 
 

Notices of Amendments: 8 July 2010                     

15

 

Finance Bill, continued

 
 

‘(6)    

The rate of value added tax shall remain at 17.5% for those items subject to the

 

standard rate which are intended to alleviate disability and which are for the

 

exclusive personal use of a disabled person.’.

 

Owen Smith

 

28

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

The rate of value added tax shall be increased to 30% for specified “luxury goods”

 

to include luxury yachts, non-military helicopters, watches, jewellery and cars.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

37

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

In this section, “charity” has the same meaning as in the Charities Acts 1993 and

 

2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities

 

Act (Northern Ireland) 2008.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

40

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

Before 4 January 2011 the Treasury shall lay a report before the House of

 

Commons on the scope of the standard rate of VAT.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

44

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

Should any change be made to delete any of the items currently listed in Schedule

 

8 of the Value Added Tax Act 1994 (zero rating), then provision shall be made

 

for the rate of VAT imposed by subsection (1) to be reduced. That reduction shall

 

be such as will ensure that the revenue generated by the changes to Schedule 8 are

 

balanced by revenue forgone by the reduction in the standard rate of VAT.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

45

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end add—

 

‘(6)    

Should any change be made to delete any of the items currently listed in Schedule

 

9 of the Value Added Tax Act 1994 (Exemption), then provision shall be made

 

for the rate of VAT imposed by subsection (1) to be reduced. That reduction shall

 

be such as will ensure that the revenue generated by the changes to Schedule 9 are

 

balanced by revenue forgone by the reduction in the standard rate of VAT.’.


 
 

Notices of Amendments: 8 July 2010                     

16

 

Finance Bill, continued

 
 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

47

 

Parliamentary Star    

Clause  3,  page  2,  line  17,  at end insert—

 

‘(6)    

Before 1 October 2010 the Treasury must report to Parliament—

 

(a)    

assessing the impact on disabled persons of the amendment in subsection

 

(1) on items for people with disabilities other than supplies zero-rated by

 

Schedule 8, Part II, Group 12 of the Value Added Tax Act 1994 (drugs,

 

medicines and aids for the handicapped, etc), and

 

(b)    

recommending how the impact identified in paragraph (a) can be

 

mitigated.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

41

 

Parliamentary Star    

Clause  3,  page  3,  line  13,  at end insert ‘unless the report referred to in subsection

 

(6) has not been completed, in which case the date shall be 4 January 2012.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

42

 

Parliamentary Star    

Clause  3,  page  3,  line  15,  at end insert ‘unless the report referred to in subsection

 

(6) has not been completed, in which case the date shall be 4 January 2012.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

43

 

Parliamentary Star    

Clause  3,  page  3,  line  17,  at end add—

 

‘(6)    

The Treasury shall prepare a report into the impact of the rise provided for by

 

subsection (1) on—

 

(a)    

pensioners;

 

(b)    

children and child poverty;

 

(c)    

inequality;

 

(d)    

the bottom quintile of households by income;

 

(e)    

charities, and

 

(f)    

the informal economy,

 

    

in the United Kingdom and lay it before the House of Commons.’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

46

 

Parliamentary Star    

Clause  3,  page  3,  line  17,  at end add—


 
 

Notices of Amendments: 8 July 2010                     

17

 

Finance Bill, continued

 
 

‘(6)    

The Treasury shall prepare a report into the impact of the increase in VAT rate

 

provided for by subsection (1) on pensioners in the United Kingdom in 2010-11

 

and 2011-12; this report shall be prepared and laid before the House of Commons

 

prior to the Commons Committee stage of any further Finance Bill that is brought

 

before the House in the current Parliamentary session and shall propose ways in

 

which the pensioner population of the United Kingdom can be assisted in meeting

 

the additional costs imposed on them by the rise provided for in subsection (1).’.

 


 

Jon Trickett

 

Mr Dai Havard

 

Kelvin Hopkins

 

Jeremy Corbyn

 

Mrs Linda Riordan

 

Katy Clark

 

Caroline Lucas

 

Paul Blomfield

 

4

 

Schedule  2,  page  11,  line  14,  leave out ‘4 January 2011’ and insert ‘the date

 

specified pursuant to section 3 of this Act’.

 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

39

 

Parliamentary Star    

Page  11,  line  1,  leave out Schedule 2.

 


 

Mr Christopher Chope

 

18

 

Clause  4,  page  2,  line  23,  leave out ‘“6 per cent”’ and insert ‘“5 per cent in the case

 

of personal health insurance, and 6 per cent in any other case”’.

 

Mr Christopher Chope

 

19

 

Clause  4,  page  2,  line  23,  leave out ‘“6 per cent”’ and insert ‘“5 per cent in the case

 

of motor insurance, and 6 per cent in any other case”’.

 

Stewart Hosie

 

Jonathan Edwards

 

Angus Robertson

 

Mr Elfyn Llwyd

 

Caroline Lucas

 

Mr Mike Weir

 

15

 

Clause  4,  page  2,  line  26,  at end add ‘, subject to a report having been laid by the

 

Secretary of State containing an assessment of the consequences of the changes in

 

subsection (1) on consumers and the insurance industry.’.


 
 

Notices of Amendments: 8 July 2010                     

18

 

Finance Bill, continued

 
 

Mr Liam Byrne

 

Ms Angela Eagle

 

Stephen Timms

 

Mr Alistair Darling

 

48

 

Parliamentary Star    

Clause  4,  page  2,  line  32,  leave out subsection (4).

 

Chris Leslie

 

24

 

Clause  4,  page  2,  line  34,  at end add—

 

‘(5)    

The Secretary of State must report by the end of 2010 his assessment of the

 

benefits for taxpayers of advertising the Insurance Premium Tax rates in a more

 

prominent manner on all relevant insurance policy documentation.’.

 


 

Stewart Hosie

 

Jonathan Edwards

 

Angus Robertson

 

Mr Elfyn Llwyd

 

Caroline Lucas

 

Mr Mike Weir

 

16

 

Clause  6,  page  3,  line  12,  leave out ‘22 June 2010’ and insert ‘a date set by the

 

Secretary of State by regulation.’.

 


 

Stewart Hosie

 

Jonathan Edwards

 

Angus Robertson

 

Mr Elfyn Llwyd

 

Caroline Lucas

 

Mr Mike Weir

 

17

 

Schedule  3,  page  19,  line  38,  leave out ‘22 June 2010’ and insert ‘a date set by the

 

Secretary of State by regulation.’.

 


 

nEW cLAUSEs

 

Revenue forecasts for tax rate changes

 

Mr John Redwood

 

NC1

 

To move the following Clause:—

 

‘(1)    

When proposing future increases in rates of tax on income and capital the

 

Government shall bring forward a forecast of revenue following the change based


 
 

Notices of Amendments: 8 July 2010                     

19

 

Finance Bill, continued

 
 

upon a dynamic model of the impact of the rate increase on taxpayer numbers and

 

behaviour.

 

(2)    

These models will be based on analysis of past behavioural changes and adjusted

 

in the light of experience.’.

 


 

Inquiry into a banking transactions tax

 

Caroline Lucas

 

Mr Graham Allen

 

Richard Burden

 

Jonathan Edwards

 

Hywel Williams

 

Mr Elfyn Llwyd

 

Stella Creasy

 

NC2

 

Parliamentary Star    

To move the following Clause:—

 

‘(1)    

It shall be the duty of the Chancellor of the Exchequer to appoint a committee of

 

inquiry to report within 6 months on the practical action necessary to introduce a

 

banking transactions tax.

 

(2)    

For the purposes of subsection (1), a banking transactions tax is a tax, charged at

 

the rate of 0.005 per cent of the value of the transaction, on—

 

(a)    

foreign exchange dealings in sterling, and

 

(b)    

derivative, swap, bond and over the counter trading,

 

    

where the economic substance of the transaction arises in the United Kingdom or

 

the place where the transaction is recorded is the United Kingdom.’.

 


 

The Office for Tax Responsibility

 

John McDonnell

 

NC3

 

Parliamentary Star    

To move the following Clause:—

 

‘(1)    

There shall be established The Office for Tax Responsibility.

 

(2)    

The Office for Tax Responsibility shall report to, but be independent of, the

 

Chancellor of the Exchequer and shall also be independent of Her Majesty’s

 

Treasury and Her Majesty’s Revenue and Customs (“HMRC”).

 

(3)    

The Office for Tax Responsibility shall be managed by the Director for Tax

 

Responsibility who shall be supported in their work by no fewer than two and no

 

more than four Commissioners for Tax Responsibility who shall, with the

 

Director of Tax Responsibility, constitute the Board of the Office for Tax

 

Responsibility.

 

(4)    

The Office for Tax Responsibility shall—

 

(a)    

be afforded such budget as shall be required for it to undertake its duties

 

as laid down in this Act;


 
 

Notices of Amendments: 8 July 2010                     

20

 

Finance Bill, continued

 
 

(b)    

be given the right to access all such information held by such other

 

government departments, agencies, local authorities and authorities

 

established under statute as it in its sole discretion shall determine is

 

required to fulfil its duties laid down in this Act subject to the sole

 

requirement that all obligations to respect the confidentiality of those

 

with whom those such other agents of government engage shall also be

 

assumed by the Office for Tax Responsibility when using data those

 

agents of government shall supply to the Office for Tax Responsibility

 

for the purpose of undertaking its duties;

 

(c)    

engage such staff (including the Director and Commissioners) as it needs

 

to fulfil its duties, such staff not to be seconded from other government

 

departments, agencies, local authorities or authorities established under

 

such statute and such staff not to be seconded to it by any entity registered

 

at the time such secondment shall take place as a tax agent by HMRC.

 

(5)    

The Office for Tax Responsibility shall report annually on—

 

(a)    

its best estimate of the United Kingdom tax gap. In so doing it shall—

 

(i)    

calculate the tax gap separately for each of income tax, national

 

insurance in all its forms, corporation tax, value added tax, excise

 

and customs duties in all their forms, stamp duty in all its forms,

 

capital gains tax, inheritance tax, petroleum revenue tax, landfill

 

tax, air passenger duty, insurance premium tax, climate change

 

levy, aggregates levy, domestic rates and business rates, but with

 

specific requirement being made that the interaction of the tax

 

gap calculated for any one tax be specifically considered when

 

estimating the tax gap for any other tax before preparing and

 

publishing an estimate of the total annual United Kingdom tax

 

gap;

 

(ii)    

use a methodology for calculating the tax gap that estimates the

 

net theoretical tax liability for the particular tax subject to

 

calculation within the United Kingdom economy as a whole

 

from which is then subtracted the acutal receipts for the tax in

 

question to produce an estimate of the annual tax gap for the tax

 

subject to calculation;

 

(iii)    

analyse the tax gap with regard to each tax between that

 

attributable to tax evasion, tax avoidance and unpaid or late paid

 

tax;

 

(iv)    

publish its methodology and workings with regard to the

 

calculation of each component of the tax gap subject only to

 

withholding such information as is required to prevent any

 

breach of taxpayer confidentiality;

 

(b)    

progress made by HMRC in closing the tax gap;

 

(c)    

the methods it proposes HMRC and other agencies, if appropriate, should

 

adopt better to tackle the tax gap;

 

(d)    

those legislative changes required, in its opinion, to close the tax gap;

 

(e)    

the budget resources that in its opinion HMRC and those other agencies

 

addressing that issue will require to address the tax gap it identifies;

 

(f)    

its forecast of the taxation and other benefits that might arise from

 

allocating such resources for the purpose identified in paragraph (e)

 

above: other benefits for this purpose to include all those social benefits

 

resulting from tackling the tax gap.


 
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