(Except Clauses 1, 4, 5, 9, 14, 22, 42, 56, 57, 124, 130 to 135, 138, 139, 148 and 184 and Schedules 5, 6, 19 and 25, and any new Clauses and Schedules tabled by Friday 9th May 2003 relating to excise duty on spirits or RÿD tax credits for oil exploration.) - Schedule 22 - Employee securities and options
Finance Bill
2:45 pm
Ms Dawn Primarolo (Paymaster General, HM Treasury; Bristol South, Labour)
A large number of the arguments put forward so far have been general points about the entire schedule rather than specific to the amendments. Perhaps I could spend a few minutes responding to those, without trying your patience, Mr. McWilliam, and then move as quickly as possible to the amendments.
Schedule 22 provides a coherent, consistent and fair way forward for all of those involved in share schemes. There is tax value when it is unlocked and accessible by reason of employment. There are major avoidance schemes that need to be blocked and we are happy to give details of them, but hon. Members can see those advertised on the internet. The rules must ensure that there is fairness throughout the system. Some people may have been paying too much tax. There is a risk that others might pay too little by identifying weaknesses in the wording. The wording must be coherent and consistent and we must ensure that as many errors are removed as possible.
Hon. Members continued to advance the argument that there was no consultation. There was considerable discussion for some time with those involved in this highly complex area of tax. In those discussions, avoidance issues were flagged up by some representatives who disapproved, and other areas where the rules should be rewritten and eased were mentioned. We will come to that in the discussion of the amendments. Some people were being taxed too much, frankly.
Mr. Osborne rose—
Mr. Baron rose—