HC Deb 15 November 1979 vol 973 cc757-60W
Mr. Denzil Davies

asked the Chancellor of the Exchequer when he expects to lay an order for the ratification of new double taxation convention between the United Kingdom and Canada.

Mr. Peter Rees

I shall let the right hon. Member have a reply as soon as possible.

Mr. Denzil Davies

asked the Chancellor of the Exchequer when he expects to lay an order for the ratification of the proposed new double taxation convention between the United Kingdom and Sweden.

Mr. Peter Rees

A new double taxation convention between the United Kingdom and Sweden was initialled on 27 September 1978. The convention is being translated into Swedish, after which it is expected that it will be signed by the two Governments and laid before the House of Commons in the usual manner. I am not yet in a position to say when this will happen.

Mr. Denzil Davies

asked the Chancellor of the Exchequer when he expects to lay an order for the ratification of the proposed new double taxation convention between the United Kingdom and the United States of America.

Mr. Peter Rees

The decision when to lay a draft order before the House embodying the proposed new double taxation convention with the United States must take into account the importance of drawing attention in the United States to the very burdensome nature of the unitary system of taxation used by some American states, when it is applied in an international context. The Government are, however, conscious that further excessive delay in ratification may cause uncertainty and inconvenience to taxpayers. Both factors will be carefully weighed in deciding when the necessary draft order should be laid.

Mr. Denzil Davies

asked the Chancellor of the Exchequer what progress has been made on the negotiation of a new double taxation agreement between the United Kingdom and Belgium.

Mr. Peter Rees

Negotiations on a new double taxation convention with Belgium were opened last year. A wide measure of agreement was reached, and it is hoped that a further round of negotiations will be held next year, although no date has yet been fixed.

Mr. Denzil Davies

asked the Chancellor of the Exchequer whether he will list countries with which, since 1 January 1975, the United Kingdom has concluded double taxation conventions—taxes on income—where no convention previously existed.

Mr. Peter Rees

Since 1 January 1975 double taxation conventions—taxes on income—have been concluded with the following countries with which the United Kingdom had no previous agreement:

  • Hungary
  • Indonesia
  • Philippines
  • Poland
  • Egypt
  • Romania
  • Korea
  • Spain
  • Sudan
  • Bangladesh
  • Ethiopia (limited to air transport profits).
  • Zaire (limited to shipping and air transport profits).
  • Jordan (limited to shipping and air transport profits).
  • Venezuela (limited to shipping and air transport profits).

The conventions with Egypt and Bangladesh have been signed but not yet laid before this House. Those with Jordan and Venezuela have not yet entered into force. The convention with Spain supersedes an earlier agreement limited to air transport profits.

Mr. Denzil Davies

asked the Chancellor of the Exchequer (1) what progress has been made on the proposed protocol to amend the double taxation convention between the United Kingdom and New Zealand;

(2) whether the Government have any plans to renegotiate the existing double taxation—taxes on income—agreement between the United Kingdom and South Africa;

(3) what progress has been made on the proposed new protocol to the double taxation convention between the United Kingdom and Cyprus;

(4) what progress has been made on the proposed new double taxation convention between the United Kingdom and Denmark.

Mr. Peter Rees

I shall let the right hon. Member have a reply as soon as possible.

Mr. Denzil Davies

asked the Chancellor of the Exchequer whether it is the Government's intention to renegotiate the existing double taxation arrangement between the United Kingdom and West Germany.

Mr. Peter Rees

Yes. The existing double taxation convention with the Federal Republic of Germany was signed in 1964, and was amended by a protocol signed in 1970. The convention is in need of revision to reflect developments in the tax systems of both countries since 1970, and discussions began some time ago.

Mr. Denzil Davies

asked the Chancellor of the Exchequer what progress has been made on the proposed double taxation convention between the United Kingdom and Italy.

Mr. Peter Rees

I shall let the right hon. Member have a reply as soon as possible.

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