Oral Answers to Questions

Neil Gray Excerpts

Tuesday 1st March 2016 Commons Chamber

[Mr Osborne]

Housing starts are higher than they were when I became the Chancellor, but what people need—homeowners or people who are building houses—above all is economic security, which is what the Government are seeking to deliver. Frankly, the fact that the Labour party is now getting its advice from Yanis Varoufakis and the revolutionary Marxist broadcaster Paul Mason does not suggest to me that it has an answer to economic security. Presumably Labour chose those two because Chairman Mao was dead and Micky Mouse was busy.

[Neil Gray (Airdrie and Shotts) (SNP)]

6. What support his Department provides for British citizens involved in tax disputes with other countries.

[The Financial Secretary to the Treasury (Mr David Gauke)]

Tax treaties provide protection for UK citizens from discriminatory taxation in other countries. The UK has one of the largest treaty networks, with more than 120 treaties in force. Her Majesty’s Revenue and Customs cannot intervene where a taxpayer is in dispute with a foreign revenue authority on a domestic issue. However, where a UK resident believes that a treaty partner is not applying the treaty properly, they can request HMRC to raise the issue with the other revenue authority.

[Neil Gray]

I thank the Minister for that helpful answer. My constituent David Duncan is currently being pursued by HMRC’s mutual assistance in the recovery of debt team for a tax payment relating to a time when he was residing in Germany but working in South Korea. Mr Duncan had been assured by his employer that he would have to—

[Mr Speaker]

Order. I am sorry but this is just too long. This is a story, not a question. One sentence. What is it?

[Neil Gray]

Will the Minister advise on what help is available to my constituent at this time in dealing with and resolving that issue between Germany and South Korea?

[Mr Gauke]

As I said in my answer, it depends on the nature of the dispute, but if the hon. Gentleman wishes to write to me, I will look at it and get back to him.

--- Later in debate ---

[Mr Osborne]

That is absolutely what the Government were elected to deliver. We have manifesto commitments to deliver not just the £50,000 threshold for the higher rate, but a £12,500 personal allowance, so that more people can see the benefit of either paying no tax if they are low paid, or paying less tax if they are better paid.

[Neil Gray (Airdrie and Shotts) (SNP)]

T5. Will the Chancellor tell us when he is due to publish the proposals for the distribution and calculation of the apprenticeship levy to the devolved nations, and whether the Governments in those nations have agreed to it?

[Mr Osborne]

We are working to get those arrangements right. They are clearly complex, because of cross-border companies that will pay a single levy rate, but we are having good discussions with the Scottish Government. I think that, as with the agreement on the fiscal charter, we can work together for the benefit of the United Kingdom.