HC Deb 23 March 1998 vol 309 cc145-6

Resolved,

That—

(1) In relation to any asset provided on or after 2nd July 1997 and before 6th April 1998, section 203F of the Income and Corporation Taxes Act 1988 shall have effect with the following two modifications.

(2) The first modification is the insertion in subsection (2), before the word "and" at the end of paragraph (b), of the following paragraph—

"(ba) an asset not falling within paragraph (a) or (b) above which consists in the rights of an assignee, or any other rights, in respect of a trade debt that is or may become due to the employer;".

(3) The second modification is the insertion in subsection (3), before the word "and" at the end of paragraph (a), of the following paragraph—

"(aa) in the case of an asset falling within subsection (2)(ba) above, the amount of the debt;".

(4) The preceding provisions of this Resolution shall be deemed, in accordance with paragraphs (5) and (6) below, to have come into force on 2nd July 1997.

(5) Subject to paragraph (6) below, this Resolution shall not be taken to have changed—

  1. (a) the amounts which were deductible by any person under section 203 of the Income and Corporation Taxes Act 1988 at any time on or before 17th March 1998; or
  2. (b) the amounts which should have been accounted for to the Board under section 203J(3) of that Act at any time on or before 5th April 1998.

(6) Where, by virtue of this Resolution, any employer would (but for paragraph (5) above) be treated as having been under an obligation at any time on or before 17th March 1998 to make deductions from payments made by the employer of, or on account of, an employee's assessable income—

  1. (a) sections 203 and 203J of the Income and Corporation Taxes Act 1988, and
  2. (b) the provisions of any regulations under section 203 of that Act,

shall have effect as if the employer were obliged (subject to section 203J(3) of that Act) to make those deductions from any payments that are so made on or after 24th March 1998 and before 6th April 1998.

(7) Expressions used in paragraph (6) above and in section 203J of the Income and Corporation Taxes Act 1988 have the same meanings in that paragraph as in that section.

And it is hereby declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.