§ Mrs. Clwydasked the Chancellor of the Exchequer how many other member states of the European Economic Community tax the benefits of workplace nurseries.
§ Mr. MooreThe tax treatment of specific benefits-in-kind varies from country to country. As far as I am aware, however, only the Federal Republic of Germany specifically exempts by law the benefit of employer subsidised nurseries from tax.
§ Mrs. Clwydasked the Chancellor of the Exchequer (1) if he will defer collection, without liability to back tax, of tax on workplace nurseries until a test case has clarified the relevant law.
(2) how many employers have been approached for details of their workplace nurseries following the decision to tax employees on the benefits from such nurseries.
(3) how many individuals are or have been the subject of personal tax claims in respect of workplace nursery benefits.
(4) how many individuals have been asked for arrears of tax to cover nursery benefits in previous years.
§ Mr. MooreNo. I am advised that the law is quite clear on this point: the benefit that directors and certain employees (currently those earning at a rate of £8,500 a year or more) receive from employer-subsidised nurseries has been liable to tax since legislation first introduced by 357W the then Labour Government in 1948. I regret that the detailed information requested on the number of employers and individuals concerned is not kept centrally.