HC Deb 05 July 1993 vol 228 c30W
Ms Harman

To ask the Chancellor of the Exchequer if he will provide an estimate of the revenue which would have been raised by the Exchequer in 1992–93 if scrip dividends had been liable to advanced corporation tax at the same rate as dividends paid in cash.

Mr. Dorrell

[holding answer 1 July 1993]: The Exchequer effects are very difficult to estimate. They would depend on the decisions taken by companies about what sort of dividends to pay. The main effect would have probably been a small cash flow benefit to the Exchequer from higher advance corporation tax largely offset by a reduction in subsequent mainstream tax payments.

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