Clause 4 - Consequential changes to tax relief provisions.
Social Security Contributions
12:15 pm
Mr Howard Flight (Arundel and South Downs, Conservative)
I can easily think of situations where, specifically in relation to the Bill, a company might say to an employee, ``Look, you've got these options that were issued before the power existed, as of last May, for us to transfer our liability to you. We will issue you with more options only if you accept liability.'' It is perfectly possible for companies to apply leverage to their employees to transfer the liabilities. In that situation, the employee is treated unfairly if the firm subsequently gets rid of him and he never exercises his options. He will have paid his national insurance contributions, but lost them, and he will have lost his options, but received no income tax offset.
Question put and negatived.
Clause 4 ordered to stand part of the Bill.
Clauses 5 and 6 ordered to stand part of the Bill.