Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, whether his Department has carried out a rural proofing assessment of the potential effect of Making Tax Digital.
Answered by Jane Ellison
The Government is currently considering the responses to the Making Tax Digital consultations and will publish its response, draft legislation as well as the Tax Information and Impact Note in January. Issues specific to rural businesses will be assessed as part of this process.
The consultations have gathered evidence on both the nature and deployment of financial support to assist businesses with the transition to Making Tax Digital. For those businesses who are digitally excluded it is the intention of the Government to exempt them from Making Tax Digital and the consultations have sought feedback on the appropriate criteria. The Government will publish its response to the consultations in January.
At the Autumn Statement 2016, the Government announced £1 billion of new funding to boost UK's digital infrastructure. This includes further rollout of fibre broadband networks, enabling faster connections for businesses, helping build a better more productive economy for all.
The majority of businesses, whether VAT registered or not, want to get their tax right, but the recent tax gap figures show that too many business still find that hard. Making Tax Digital will reduce the likelihood of time-consuming errors, lower the chance of compliance checks and give businesses greater certainty that they are getting things right. VAT registered businesses will be able to provide a single update covering both income tax and VAT if they wish.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will publish an analysis of the estimated tax gap caused by unincorporated businesses; and what estimate he has made of the proportion of this tax gap attributable to (a) unrepresented business and (b) businesses represented by agents.
Answered by Jane Ellison
Estimates of the tax gap were published in Measuring Tax Gaps on 20 October 2016 and are available at https://www.gov.uk/government/statistics/measuring-tax-gaps. The estimated tax gap for self-assessed business taxpayers in 2014-15 is £6.0 billion. This excludes the tax gap due to VAT, the hidden economy and employer contributions through Pay As You Earn, which is not available by legal entity. Estimates of the tax gap attributable to represented and unrepresented unincorporated businesses are not available; however, HM Revenue and Customs has estimated that 70 per cent of small- and medium-sized enterprises are represented.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will exempt (a) people and (b) businesses without adequate digital infrastructure from Making Tax Digital.
Answered by Jane Ellison
The Government is currently considering the responses to the Making Tax Digital consultations and will publish its response, draft legislation as well as the Tax Information and Impact Note in January. Issues specific to rural businesses will be assessed as part of this process.
The consultations have gathered evidence on both the nature and deployment of financial support to assist businesses with the transition to Making Tax Digital. For those businesses who are digitally excluded it is the intention of the Government to exempt them from Making Tax Digital and the consultations have sought feedback on the appropriate criteria. The Government will publish its response to the consultations in January.
At the Autumn Statement 2016, the Government announced £1 billion of new funding to boost UK's digital infrastructure. This includes further rollout of fibre broadband networks, enabling faster connections for businesses, helping build a better more productive economy for all.
The majority of businesses, whether VAT registered or not, want to get their tax right, but the recent tax gap figures show that too many business still find that hard. Making Tax Digital will reduce the likelihood of time-consuming errors, lower the chance of compliance checks and give businesses greater certainty that they are getting things right. VAT registered businesses will be able to provide a single update covering both income tax and VAT if they wish.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, whether HM Revenue and Customs will meet the cost of delivering adequate digital infrastructure to (a) people and (b) businesses without such infrastructure by the start of Making Tax Digital.
Answered by Jane Ellison
The Government is currently considering the responses to the Making Tax Digital consultations and will publish its response, draft legislation as well as the Tax Information and Impact Note in January. Issues specific to rural businesses will be assessed as part of this process.
The consultations have gathered evidence on both the nature and deployment of financial support to assist businesses with the transition to Making Tax Digital. For those businesses who are digitally excluded it is the intention of the Government to exempt them from Making Tax Digital and the consultations have sought feedback on the appropriate criteria. The Government will publish its response to the consultations in January.
At the Autumn Statement 2016, the Government announced £1 billion of new funding to boost UK's digital infrastructure. This includes further rollout of fibre broadband networks, enabling faster connections for businesses, helping build a better more productive economy for all.
The majority of businesses, whether VAT registered or not, want to get their tax right, but the recent tax gap figures show that too many business still find that hard. Making Tax Digital will reduce the likelihood of time-consuming errors, lower the chance of compliance checks and give businesses greater certainty that they are getting things right. VAT registered businesses will be able to provide a single update covering both income tax and VAT if they wish.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what benefit HM Revenue and Customs will derive by requiring VAT registered unincorporated businesses to send a quarterly cash in/cash out update.
Answered by Jane Ellison
The Government is currently considering the responses to the Making Tax Digital consultations and will publish its response, draft legislation as well as the Tax Information and Impact Note in January. Issues specific to rural businesses will be assessed as part of this process.
The consultations have gathered evidence on both the nature and deployment of financial support to assist businesses with the transition to Making Tax Digital. For those businesses who are digitally excluded it is the intention of the Government to exempt them from Making Tax Digital and the consultations have sought feedback on the appropriate criteria. The Government will publish its response to the consultations in January.
At the Autumn Statement 2016, the Government announced £1 billion of new funding to boost UK's digital infrastructure. This includes further rollout of fibre broadband networks, enabling faster connections for businesses, helping build a better more productive economy for all.
The majority of businesses, whether VAT registered or not, want to get their tax right, but the recent tax gap figures show that too many business still find that hard. Making Tax Digital will reduce the likelihood of time-consuming errors, lower the chance of compliance checks and give businesses greater certainty that they are getting things right. VAT registered businesses will be able to provide a single update covering both income tax and VAT if they wish.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many times HM Revenue and Customs has petitioned for a business in a company voluntary arrangement to be wound up in each of the last five years.
Answered by Jane Ellison
HM Revenue and Customs (HMRC) is a creditor in a majority of company voluntary arrangements (CVAs), usually in respect of the two main withholding taxes, VAT and PAYE. HMRC is supportive of business rescue and votes in favour of proposals that offer an optimum return to creditors; treat all creditors fairly; and most importantly demonstrate a clear understanding of how the company fell in to difficulties and make real changes to ensure that it can go forward not only paying against historic debt but paying its future tax in full and on time.
Where these expectations aren’t met or if there are serious concerns that require investigation by a liquidator, HMRC will generally vote against the proposal.
Indicative figures show that for April 2014 to March 2015, HMRC voted to support 299 (63%) CVA proposals and to reject 175 (37%). The figures for 2015-2016 were 217 (60%) and 149 (40%) respectively.
Although figures for earlier years are not held, in answer to a Freedom of Information request in 2012 HMRC advised that of the 1640 CVA proposals received for the period 1 April 2011 to 30 November 2012, it voted: to approve 998 (61%); to reject 387 (24%) and it abstained or the proposal was withdrawn on 255 (15%).
There is no business or operational need on the part of HMRC to record the number of petitions for a business in a CVA to be wound-up. This information is therefore not held.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many company voluntary arrangements have been rejected by HM Revenue and Customs where it has acted as a creditor in each of the last five years.
Answered by Jane Ellison
HM Revenue and Customs (HMRC) is a creditor in a majority of company voluntary arrangements (CVAs), usually in respect of the two main withholding taxes, VAT and PAYE. HMRC is supportive of business rescue and votes in favour of proposals that offer an optimum return to creditors; treat all creditors fairly; and most importantly demonstrate a clear understanding of how the company fell in to difficulties and make real changes to ensure that it can go forward not only paying against historic debt but paying its future tax in full and on time.
Where these expectations aren’t met or if there are serious concerns that require investigation by a liquidator, HMRC will generally vote against the proposal.
Indicative figures show that for April 2014 to March 2015, HMRC voted to support 299 (63%) CVA proposals and to reject 175 (37%). The figures for 2015-2016 were 217 (60%) and 149 (40%) respectively.
Although figures for earlier years are not held, in answer to a Freedom of Information request in 2012 HMRC advised that of the 1640 CVA proposals received for the period 1 April 2011 to 30 November 2012, it voted: to approve 998 (61%); to reject 387 (24%) and it abstained or the proposal was withdrawn on 255 (15%).
There is no business or operational need on the part of HMRC to record the number of petitions for a business in a CVA to be wound-up. This information is therefore not held.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many company voluntary arrangements have been approved by HM Revenue and Customs where it has acted as a creditor in each of the last five years.
Answered by Jane Ellison
HM Revenue and Customs (HMRC) is a creditor in a majority of company voluntary arrangements (CVAs), usually in respect of the two main withholding taxes, VAT and PAYE. HMRC is supportive of business rescue and votes in favour of proposals that offer an optimum return to creditors; treat all creditors fairly; and most importantly demonstrate a clear understanding of how the company fell in to difficulties and make real changes to ensure that it can go forward not only paying against historic debt but paying its future tax in full and on time.
Where these expectations aren’t met or if there are serious concerns that require investigation by a liquidator, HMRC will generally vote against the proposal.
Indicative figures show that for April 2014 to March 2015, HMRC voted to support 299 (63%) CVA proposals and to reject 175 (37%). The figures for 2015-2016 were 217 (60%) and 149 (40%) respectively.
Although figures for earlier years are not held, in answer to a Freedom of Information request in 2012 HMRC advised that of the 1640 CVA proposals received for the period 1 April 2011 to 30 November 2012, it voted: to approve 998 (61%); to reject 387 (24%) and it abstained or the proposal was withdrawn on 255 (15%).
There is no business or operational need on the part of HMRC to record the number of petitions for a business in a CVA to be wound-up. This information is therefore not held.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what discussions he has had with the Prudential Regulation Authority on the implications for its remit of the draft Transatlantic Trade and Investment Partnership.
Answered by David Gauke
The lead department on TTIP (now DIT, was BIS) established a process for regular cross-Whitehall engagement with relevant parts of Government to ensure matters arising from the TTIP discussions have been considered appropriately. There has also been extensive engagement with various stakeholders.
Asked by: Helen Goodman (Labour - Bishop Auckland)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what discussions he has had with the Financial Conduct Authority on the implications for its remit of the draft Transatlantic Trade and Investment Partnership.
Answered by David Gauke
The lead department on TTIP (now DIT, was BIS) established a process for regular cross-Whitehall engagement with relevant parts of Government to ensure matters arising from the TTIP discussions have been considered appropriately. There has also been extensive engagement with various stakeholders.