§ Mr. Nigel GriffithsTo ask the Chancellor of the Exchequer what plans he has to improve the inspection of the validity of capital allowances claimed on office equipment leases.
§ Mr. DorrellClaims to capital allowances are subject to the same scrutiny by tax inspectors as other aspects of taxpayers' affairs. The operation of the capital allowance system is generally kept under review and guidance is given to inspectors where appropriate.
§ Mr. Nigel GriffithsTo ask the Chancellor of the Exchequer what steps his Department is taking to ensure that capital allowances are not claimed by the same finance company on the same equipment which has been the subject of a previous financial agreement on which allowances have already been claimed.
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§ Mr. DorrellThe eligibility of expenditure for capital allowances is a matter covered by detailed and comprehensive legislation. Examinations carried out by tax inspectors are aimed at ensuring that claims made are in accordance with the requirements of this legislation.
§ Mr. Nigel GriffithsTo ask the Chancellor of the Exchequer what assessment he has made of the loss to the Exchequer from the artificial inflation for the purposes of capital allowances claimed on office equipment leases of the retail value of equipment such as photocopiers.
§ Mr. DorrellNo such specific assessment has been made.