§ Lord Taylor of Warwick
asked Her Majesty's Government:
Why they are ceasing the 10 per cent tax relief on stocks and shares ISAs from April 2004 when they are seeking to encourage savings. [HL5078]
§ Lord McIntosh of Haringey
The removal of the ISA and PEP payable tax credit is part of a package of reforms of the corporation tax system announced by the Chancellor of the Exchequer in his July 1997 Budget.
This package included reductions in the rate of main corporation tax and small companies tax.95WA
After 5 April 2004, PEP and ISA investors will still pay no income tax on their investment returns or capital gains tax on any long-term capital appreciation.