Clause 35
Finance Bill
12:45 pm
Mark Hoban (Shadow Minister, Treasury; Fareham, Conservative)
I am still at a loss as to exactly where the link is between the two. I understand completely why the increased revenue that will come from the worldwide debt cap is there, and why it could be used to offset the losses that arise from the dividend exemption. However, the Minister is yet to demonstrate the linkage. What mischief will be created by introducing a dividend exemption policy that could be made worse by the tax deductibility of interest in the UK? The Minister has asserted strongly that there is a link, but has not given an example of a transaction that could suffer—he might have one in his hands as we speak. It would help to know exactly how he sees the two things linked, other than simply through offsetting losses and gains of tax.