HC Deb 23 February 1976 vol 906 cc79-81W
Mr. Hannam

asked the Chancellor of the Exchequer if he will list all the taxes and duties of which local authorities are relieved and, in each case, the relevant statute or regulation under which relief is given.

Mr. Joel Barnett

A local authority as defined in Section 52, Finance Act 1974, set supplied under an agreement entered into prior to 16th April 1975.

is exempt from all charge to income tax in respect of its income, and from corporation tax and capital gains tax under the provisions of Section 353, Income and Corporation Taxes Act 1970. Whilst stamp duty reliefs are not in terms conferred upon parties to the transaction, Section 29, Finance Act 1967, provides relief from duty in the transfer of local authority securities; other stamp duty exemptions are given in Section 74, Finance Act 1952, Section 168, Public Health (Scotland) Act 1897, Section 52, Sewerage (Scotland) Act 1968, and Section 46, Water (Scotland) Act 1946. In addition, a local authority can obtain a refund of the value added tax incurred on goods and services purchased for its non-business activities—Section 15 of the Finance Act 1972—and certain vehicles are exempt from Vehicle Excise Duty—Section 4 of the Vehicles (Excise) Act 1971.

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