Clause 60
Finance (No.2) Bill
11:00 am
Mark Francois (Shadow Minister, Treasury; Rayleigh, Conservative)
I am grateful to my hon. Friend for that intervention, which serves to amplify my point. BlackBerrys have a multi-functionality. The question for tax purposes is, which functionality will be taxed in that instance? Will the Paymaster General confirm whether the clause will define BlackBerrys as computers rather than mobile phones? If so, it would presumably be possible to have one of each without incurring an additional tax charge as a benefit in kind. Following the associated changes to clause 61, that is assuming that any personal use of the BlackBerry, if it were a computer, is deemed not to be significant.
To clear up the ambiguity, can the Paymaster General clarify exactly how clause 60 is intended to operate in practice? Are there any circumstances in which there could still be a tax benefit in kind for a single employer-provided mobile phone? If so, what are they? Can the right hon. Lady say how BlackBerrys are to be categorised for the purposes of the Bill? Are they excluded from clause 60? If so, they will presumably be dealt with under clause 61 instead. It would be helpful if that matter were clarified, too.