HC Deb 01 May 1987 vol 115 cc289-90W
Mr. Austin Mitchell

asked the Chancellor of the Exchequer what is the present rate of stamp duty on shares issued as a result of mergers and acquisitions; and if he will provide an estimate of the yield in 1986–87 of stamp duty at the rate of 1 per cent. on shares issued as a result of such mergers and acquisitions.

Mr. Ian Stewart

The present rate of capital duty is 1 per cent., but it does not apply if the consideration consists entirely, or almost entirely, of shares in the acquiring

Reductions ( + )/Increases ( - ) in income lax compared with 1978–79 indexed regime
£ million
Range of total income in 1987–88 Number units paying tax in 1987–88 (million) 1979–80 1980–81 1981–82 1982–83 1983–84 1984–85 1985–86 1986–87 1987–88
Under 5,000 3.2 70 100 -290 -240 -20 110 230 270 340
5,000–10,000 7.6 640 710 -280 -170 390 760 1,090 1,380 1,940
10,000–15,000 5.3 960 1,000 190 270 730 1,150 1,450 1,810 2,530
15,000–20,000 2.7 760 790 290 340 630 910 1,090 1,370 1,930

company. I regret that the information requested on yield is not available centrally and could be obtained only at undue cost.