§ Mr. Shersbyasked the Chancellor of the Exchequer if he will introduce a simplified tax assessment option for small businesses based on the forfait flat rate tax in France; and if he will make a statement.
§ Mr. RidleyWe have recently examined a proposal on these lines, and our initial conclusion is that it would not be advantageous for small businesses nor would it yield staff savings in the Revenue departments. I shall write to my hon. Friend setting out in more detail the reasons for this conclusion. We are, however, continuing to seek ways of reducing the compliance burden of taxation for small businesses.