Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the effect of the 2019 Loan Charge on the number of bankrupts.
Answered by Mel Stride - Secretary of State for Work and Pensions
Disguised Remuneration schemes are contrived arrangements that pay loans in place of ordinary remuneration with the sole purpose of avoiding income tax and National Insurance contributions. When taking into account the loan they received, loan scheme users have on average twice as much income as the average UK taxpayer.
HMRC data indicates that fewer than 3% of those affected work in medical services (doctors and nurses) and teaching. Further information can be found in HMRC’s issue briefing: https://www.gov.uk/government/publications/hmrc-issue-briefing-disguised-remuneration-charge-on-loans/hmrc-issue-briefing-disguised-remuneration-charge-on-loans.
HMRC is working hard to help individuals to get out of tax avoidance for good. HMRC does not want to make anybody bankrupt and very few cases ever reach that stage.
HMRC has simplified the process for those who choose to settle their use of avoidance schemes before the charge arises, so that those earning less than £50,000 a year and no longer engaging in tax avoidance can agree a payment plan of up to five years without the need for detailed supporting information. There is no maximum period within which an overall settlement can be agreed, and HMRC will deal with individual cases appropriately and sympathetically.
Since the announcement of the 2019 loan charge at Budget 2016, HMRC has agreed settlements on disguised remuneration schemes with employers and individuals of over 650 million pounds. More than 90% of this amount was collected from employers, with less than 10% from individuals.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many (a) doctors and (b) nurses will be subject to the 2019 Loan Charge.
Answered by Mel Stride - Secretary of State for Work and Pensions
Disguised Remuneration schemes are contrived arrangements that pay loans in place of ordinary remuneration with the sole purpose of avoiding income tax and National Insurance contributions. When taking into account the loan they received, loan scheme users have on average twice as much income as the average UK taxpayer.
HMRC data indicates that fewer than 3% of those affected work in medical services (doctors and nurses) and teaching. Further information can be found in HMRC’s issue briefing: https://www.gov.uk/government/publications/hmrc-issue-briefing-disguised-remuneration-charge-on-loans/hmrc-issue-briefing-disguised-remuneration-charge-on-loans.
HMRC is working hard to help individuals to get out of tax avoidance for good. HMRC does not want to make anybody bankrupt and very few cases ever reach that stage.
HMRC has simplified the process for those who choose to settle their use of avoidance schemes before the charge arises, so that those earning less than £50,000 a year and no longer engaging in tax avoidance can agree a payment plan of up to five years without the need for detailed supporting information. There is no maximum period within which an overall settlement can be agreed, and HMRC will deal with individual cases appropriately and sympathetically.
Since the announcement of the 2019 loan charge at Budget 2016, HMRC has agreed settlements on disguised remuneration schemes with employers and individuals of over 650 million pounds. More than 90% of this amount was collected from employers, with less than 10% from individuals.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how much money his Department has spent on bottled water in each year since 2010.
Answered by Robert Jenrick
The department’s accounting system does not separately identify bottled water spend. This spend falls under the refreshments category and such spending is spread across several account codes.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will publish his Department's compensation payment model to the Equitable Members Action Group.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
The Scheme published the payment calculation methodology in May 2011. A copy can be found at www.gov.uk/government/publications/equitable-life-payment-scheme-design
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will review the value of the Equitable Life contingency fund.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
Up to £1.5bn has already been allocated to the Equitable Life Payment Scheme to pay to policyholders. There are no plans to allocate further funds to it.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many appeals against business rates valuation the Valuation Office has received since the check, challenge, appeal system was established; and how many of those appeals were successful.
Answered by Mel Stride - Secretary of State for Work and Pensions
There are three stages to the new Check, Challenge, Appeal system:
The Check stage allows the business or agent to understand exactly how a valuation has been calculated. It shows all the underlying facts about a property, and allows the business or agent to update the facts about the property if anything has changed. This gives individuals the opportunity to understand and agree the set of facts underlying any valuation, and to resolve any factual issues early.
The Challenge stage allows people to challenge the valuation calculated on the basis of the facts agreed at the Check stage, if they feel that the valuation is incorrect. The Challenge stages gives the VOA the opportunity to address and resolve the issue without the need for an appeal. The VOA will present the evidence to support their decision.
If ratepayers are still unhappy, having understood all the evidence and basis for the decision made at Challenge, they can Appeal to the independent Valuation Tribunal for England. This appeal will be undertaken on the basis of all the evidence and arguments put forward from both sides at the Challenge stage.
While thousands of people have started using the service to question their valuation, the Valuation Tribunal Service has confirmed that, as at 18 July 2017, no appeals have been made.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many (a) official and (b) official sensitive documents have been recorded as lost by his Department since 8 May 2015.
Answered by Simon Kirby
Our records show that (a) no official and (b) four Official Sensitive documents have been recorded as lost by HM Treasury since 8 May 2015.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many people are registered as Class 4 national insurance contribution payers by (a) parliamentary constituency and (b) region.
Answered by Jane Ellison
The information requested is attached.
This is based on the Survey of Personal Incomes 2014-15. Constituency numbers are rounded to the nearest 100, and regional numbers to the nearest 1,000. Due to rounding the sum of numbers for Parliamentary constituencies may be different to regional numbers.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how many people will pay more in national insurance contributions (NICs) as a result of changes to rates for Class 2 and Class 4 NICs due to be implemented in April 2018 by (a) region and (b) constituency.
Answered by Jane Ellison
Following the Chancellor’s oral statement in the House of Commons on 15 March, the Government will no longer be proceeding with the changes announced at Spring Budget 2017 to increase Class 4 National Insurance contributions (NICs) in April 2018 and April 2019. The abolition of Class 2 NICs will continue as announced in April 2018 meaning 3.6 million people will gain on average £135 per year. No self-employed person will have to pay more NICs as a result of these changes.
Asked by: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what assessment he has made of the effect on self-employed women of the increase in Class 4 National Insurance contributions announced in the Spring Budget 2017.
Answered by Jane Ellison
As the Chancellor announced in his statement to the House of Commons on the 15th of March, the Government will no longer be proceeding with the changes announced at Spring Budget 2017 to increase Class 4 National Insurance contributions (NICs) in April 2018 and April 2019. The abolition of Class 2 NICs will continue as announced in April 2018.