§ Mr. Michael Lathamasked the Chancellor of the Exchequer (1) what was the total revenue obtained from the development gains tax between its introduction and its replacement by development land
190WWhite Paper, tables showing public expenditure on goods and services and transfer payments, by programme, for the years 1978–79, 1979–80 and 1980–81.
§ Mr. Joel Barnett,pursuant to his reply [Official Report, 27th January 1977; Vol. 924, c. 764], gave the following answer:
For 1978–79 the information is as follows:
tax; what element of that total represented the yield from first lettings charge; and by how much the yield from the tax exceeded its annual administrative costs in Her Majesty's Treasury and the Inland Revenue, including provision for administrative overheads;
(2) how many assessments were made by the revenue under the first letting or occupation provisions of the development gains tax between the introduction of the tax and its abolition; and in how many cases no tax was subsequently charged;
(3) how many chargeable gains for the purposes of development gains tax were the subject of assessment by the revenue between the introduction of the tax and its replacement by development land tax.
§ Mr. Denzil Davies,pursuant to his reply [Official Report, 31st January 1977; Vol. 925, c. 48–9], gave the following information:
Although the first letting charge and the charge on development gains have in general been repealed for first lettings or disposals of interests in land on or after 1st August 1976, the charge is preserved transitionally for some transactions after 191W that date. Moreover, as I said in reply to an earlier Question from the hon. Gentleman—[Vol. 897, c. 835–6.]—assessments may necessarily be made a considerable time after the transaction concerned. It is not therefore possible to give final figures for either of these charges for their full period of operation.
The latest information available is as follows:
Receipts of tax to date £ million Income tax on development gains … 3.8 Corporation tax … 0.7 The information currently available centrally requires further analysis before information about the number of assessments in respect of first lettings, and the tax, including capital gains tax, attributable to them can be given. The number of assessments notified to date for the charge on development gains is 85. The annual administrative costs are currently estimated at about £50,000.