HC Deb 02 May 1977 vol 931 cc78-9W
Mr. Michael Marshall

asked the Chancellor of the Exchequer how many VAT regulations relate to a sole trader.

Mr. Robert Sheldon

Except in the few cases where the context provides otherwise, all the VAT regulations apply to sole traders as they do to other categories of business.

Mr. Michael Marshall

asked the Chancellor of the Exchequer what is the reason for the respective rates of 12½ per cent. and zero a plumber must charge in VAT for installing a plumbed-in washing machine when the water outlet is connected to the sink waste outlet and for installing a plumbed-in washing machine when the water outlet is connected directly to an outside drain.

Mr. Robert Sheldon

Washing machines are subject to the higher rate of VAT, and installation charges are also higher rated. There is, however, provision for the zero-rating of building construction and alteration work, and there the installation of a washing machine is carried out in the course of such work—for example, by routing an outlet pipe to a drain through an outside wall, the services would be eligible for zero-rating. The zero rates, where applicable, always takes precedence over other rates of VAT.

Mr. Brotherton

asked the Chancellor of the Exchequer whether he will publish an explanation in the Official Report of the groups of computer typed letters and numbers preceded by the words report type which appear on the back of every value added tax quarterly return.

Mr. Robert Sheldon

These markings are for control of the forms during computer preparation for despatch. They are used only to facilitate economic and prompt reprinting in the event of damage in the course of preparation.

Mr. Brotherton

asked the Chancellor of the Exchequer how many people have been prosecuted for value added tax offences under the Customs and Excise Act 1952.

Mr. Robert Sheldon

Prosecutions for VAT offences are normally ordered under Section 38 of the Finance Act 1972. In some cases additional charges under the Customs and Excise Act 1952 have been laid. From the period 1st April 1974 to 22nd April 1977, 11 persons were so prosecuted under the Customs and Excise Act 1952.