European Community (Food Taxes)

HC Deb 20 January 1981 vol 997 cc143-4W

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food what is the total of European Economic Community food taxes incurred by British exporters which have not been paid since 1973; if he will divide this total in such a way as to indicate the number of years for which debts have been outstanding; and if he will indicate whether interest is charged on such outstanding debts.

Mr. Buchanan-Smith

The outstanding export levy debts at 30 September 1980 were given in the Treasury Minute on the Fifteenth—Thirty-Fifth Reports from the Committee of Public Accounts, Session 1979–80. At the end of 1980 outstanding export levy debts stood at about £4.5 million. A breakdown of the debts based on the date of export is not available, but the majority of the exports concerned took place before 1 August 1977, when the intervention board was first empowered to take securities against the payment of levies. In most cases it has not been possible to charge interest.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food if the Intervention Board for Agricultural Produce has written off any debts incurred by British exporters liable to European Economic Community food taxes since 1973; and what has been the amount involved in any such bad debts.

Mr. Buchanan-Smith

Since 1973 the Intervention Board for Agricultural Produce has written off export levy debts totalling £42,685.73.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food what period of time was allowed for the payment of European Economic Community food taxes which fell to be paid by British exporters in respect of food exports; and if the Intervention Board for Agricultural Produce is empowered to make arrangements for these taxes to be paid over a period without interest being charged.

Mr. Buchanan-Smith

Until 1 January 1979 the board normally allowed a period of about five weeks from the date of issue of the invoice. It also had discretion to allow levy debts to be paid over a period without interest.

Since 1 January 1979 EEC directive 78/453 has allowed 32 days from the date of export for payment and the board has had no power to extend that period without interest.