§ 11. Mrs. Helen JacksonTo ask the Chancellor of the Exchequer what assessment he has made of the impact that widening VAT would have on the spending power of those whose earnings are below the basic rate income tax threshold.
§ Sir John CopeThe impact would depend on the precise categories of goods to which VAT was extended and the rate of tax chosen.
§ 13. Mr. BarnesTo ask the Chancellor of the Exchequer what representations he has received in the last month concerning value added tax; and if he will make a statement.
§ Sir John CopeA number of representations have been received about value added tax. It would not be appropriate to make a statement before 30 November.
§ 18. Ms CoffeyTo ask the Chancellor of the Exchequer what estimate he has made of the increase to the average family's tax bill that will occur following the VAT changes outlined in the March Budget.
§ Sir John CopeStandard rate VAT on domestic fuel and power applied to the average household's existing fuel bill would cost about £2.30 per week.
§ 21. Mr. Austin-WalkerTo ask the Chancellor of the Exchequer what representations he has received regarding the possible imposition of VAT on books, newspapers and other publications.
§ Sir John CopeMinisters have received a number of representations from all sectors of the publishing industry
462Wavailable centrally. National figures of the number of formal investigations concluded by FHSAs are in the publication "Health and Social Services Statistics", copies of which are in the Library.
and from various educational establishments about VAT and reading matter. These will be carefully considered in the run-up to the budget.
§ 23. Mr. McAllionTo ask the Chancellor of the Exchequer if he will make a statement on the items currently zero rated for VAT.
§ Sir John CopeNot before 30 November.
Mr. Wiliam O'BrienTo ask the Chancellor of the Exchequer what have been the changes in the rates of VAT since the beginning of 1979; and if he will make a statement.
§ Sir John CopeAt the beginning of 1979 there were two positive rates of VAT, 8 and 12–5 per cent. On 18 June 1979 these were replaced by a single rate of 15 per cent. which was increased to 17.5 per cent. on 1 April 1991.
§ Mr. Andrew SmithTo ask the Chancellor of the Exchequer from how many businesses Customs and Excise has withdrawn use of the VAT cash accounting scheme in each of the last five years for which statistics are available; how many businesses entering the scheme in each year have withdrawn from it at the order of Customs and Excise; how many businesses in total were taken on to the scheme in each of the last five years, including new registrations and re-registration; and against how many times in each of the last five years Customs and Excise has been party to bankruptcy proceedings on account of poor VAT payments.
§ Sir John Cope[holding answer 1 November 19931]: Figures are not available for the number of businesses from whom Customs and Excise has withdrawn use of the VAT cash accounting scheme or how many businesses entering the scheme in each year have withdrawn from it at the order of Customs and Excise. Formal approval for entry to 463W the scheme is no longer required. The number of businesses approved to start using cash accounting in each of the last five years was:
Year to 31 March Take-up 1989 21,674 1990 26,097 1991 33,778 1992 23,782 11993 19,485 1 Figures from February onwards are not available. Figures on bankruptcies are available for the last three financial years only:
Year to 31 March Number of bankruptcy petitions presented by Customs and Excise Number of bankruptcy orders made 1991 4,674 1,394 1992 5,601 3,025 1993 9,245 4,006