Value Added Tax

HC Deb 09 February 1984 vol 53 c725W

21. Mr. Marlow

asked the Chancellor of the Exchequer what sum of money he anticipates will be raised by 1 per cent. value added tax in 1984–85.

Mr. Hayhoe

A 1 percentage point increase in the standard rate of VAT implemented on 1 April 1984 would raise about £550 million in 1984–85 and £740 million in a full year.

60. Mr. David Atkinson

asked the Chancellor of the Exchequer if he has any plans to seek amendments to the sixth directive on value added tax.

Mr. Hayhoe

No.

23. Mr. Bruce

asked the Chancellor of the Exchequer what would be the cost of abolishing payment of value added tax on inter-company transactions.

Mr. Hayhoe

It is estimated the revenue would be reduced by about £1,750 million a year.