§ Mr. HowardTo ask the Chancellor of the Exchequer pursuant to paragraph B56 of the pre-Budget report November 2002 (Cm 5664), how much the strategy on VAT fraud and avoidance is expected to yield in 2002–03; and on what basis the figure for additional receipts by 2005–06 is calculated. [85545]
94W
§ John Healey[holding answer 5 December 2002]: Projected VAT receipts in 2002–03 are calculated primarily on the basis of receipts to date. The forecast of VAT revenues from 2003–04 onwards is governed by an NAO-audited assumption, which has now been adjusted to take account of the VAT strategy. The NAO's "Audit of Assumptions for the 2002 Pre-Budget Report" sets out the additional revenue yield included in the forecast and the basis on which this has been calculated.