§ Mr. Kaufmanasked the Chancellor of the Exchequer why those local authorities represented on the joint management committee of Telford opportunities centre are 540W individually exempted from value-added tax liability but when operating jointly through the joint management committee they are not.
§ Sir Geoffrey Howe[pursuant to his reply, 23 November 1982, c. 417–18.]: The activities of local authorities are not in principle exempt from VAT.
Section 15 of the Finance Act 1972 enables local authorities to claim refunds of the VAT they incur on their non-business expenditure. As constituted at present the joint management committee of Telford opportunities centre is not regarded as a local authority within the meaning of section 15(6). Customs and Excise has already advised officers of the joint management committee of the requirements to be met so as to secure the benefits of section 15.
§ Mr. Kaufmanasked the Chancellor of the Exchequer whether, following the representations made to him by Wrekin district council, he will make an order specifying the joint management committee of Telford Opportunities Centre as a body falling within the provisions of section 15 of the Finance Act 1972.
§ Sir Geoffrey Howe[pursuant to his reply, 23 November 1982, c. 418.]: No. I refer the right hon. Member to the answer I have given today to his other question about Telford Opportunities Centre.