HC Deb 21 May 1991 vol 191 cc415-6W
Mr. David Shaw

To ask the Chancellor of the Exchequer if he will list all those Inland Revenue forms and associated documentation which(a) require to be completed and (b) require to be read as a result of his proposals to tax mobile telephones.

Mr. Maude

There are no new forms to be completed because the tax charge on mobile telephones is not new. The Budget proposal for a standard benefit charge on mobile telephones, extended to include those fitted in company cars, simplifies the records which employers need to keep.

Real change in tax allowances since 1978–79
Change in tax liability 1991–92
Single people Husbands Wives
Individual's income Total Average per taxpayer1 Total Average per taxpayer1 Total Average per taxpayer1
£ per annum £ million £ per annum £ million £ per annum £ million £ per annum
Less than 5,000 230 120 20 100 150 90
5,000–10,000 600 150 440 200 340 160
10,000–15,000 480 160 720 230 170 160
15,000–20,000 210 160 520 220 60 160
20,000–25,000 80 160 280 210 20 160

As part of the normal Budget information service to employers, they have been issued with guidance on how to complete the existing return for benefits in kind—the form P11D.

Mr. David Shaw

To ask the Chancellor of the Exchequer what information he has on the use of mobile telephones by size of firm; and if he will give the proportion of the total number of mobile telephones in use by employment size bands in firms with(a) one to two, (b) three to five, (c) six to 10, (d) 11 to 19, (e) 20 to 49 and (f) over 50 employees.

Mr. Maude

I regret that this information is not available.

Mr. David Shaw

To ask the Chancellor of the Exchequer what estimates he has made of the approximate number of(a) 1990–91 P11D forms, (b) 1991–92 tax code forms and (c) 1991–92 P11D forms that are required to be completed or acted upon by employers as a result of his proposal to tax mobile telephones.

Mr. Maude

My right hon. Friend's Budget proposals for mobile telephones will not require employer returns (forms P11D) for 1990–91 since they do not take effect until the following year. For 1991–92 the extension of the benefits in kind charge to mobile telephones in cars will also not increase the number of P11Ds required. This is because a return is already needed for mobile telephones not fixed in cars, which are provided by employers and subject to private use, and because company cars are subject to a benefits-in-kind charge in any case whether or not they have a mobile telephone fitted. As a transitional effect of the proposals, there will be an increase in amended PAYE tax codes for 1991–92, but a reliable estimate of the number involved is not possible.