§ Mr. Morganasked the Chancellor of the Exchequer if he will make immediate provision for the payment of interest, 445W calculated by the day, at the same rate as that exacted by the Inland Revenue in the case of late payment of income tax, on all Government payments due to farmers that have been, or will be, held up as a result of current industrial action.
§ Mr. Denzil DaviesI presume that the question refers mainly to repayments of value added tax which are at present suspended because the VAT computer at Southend is shut down as a result of industrial action.
There is no provision in law either for the payment of interest by Customs and Excise in respect of delayed repayments of value added tax or for the charging of interest by them on overdue amounts of tax.