§ Lord Sainsbury of Preston Candoverasked Her Majesty's Government:
By how much they expect public revenues to increase by treating relocation expenses as a taxable benefit, and what impact do they anticipate this having on individuals wishing to relocate for career progression.
The Earl of CaithnessIt is estimated that the yield from the Budget proposal to reform the tax treatment of relocation expenses will be about £200 million in 1994-95. (Relocation expenses reimbursed by employers have, in law, always been a taxable benefit. The Budget proposal replaces an open-ended extra-statutory relief). It is expected that most employer-assisted career moves will still take place.