§ Mrs. FyfeTo ask the Chancellor of the Exchequer what differences there are in taxation of the various functions, services and purchases between those of a general practioner fund-holding practice and those of a non-fund-holding practice.
§ Mr. DorrellAs far as VAT is concerned, there is no difference. For their NHS activities, both are considered to be part of the VAT registration of the regional health authority, and are treated equally. The position for trading income is that the same general rules on the taxation of trading profits apply whether or not the income of a general practitioner practice includes amounts allocated under the funding initiative.