§ Sir George GardinerTo ask the Chancellor of the Exchequer how many pension associations are affected by the decision to levy VAT on their subscription income; and how much revenue he expects to raise as a result. [6752]
§ Mr. Heathcoat-AmoryFollowing the decision of the independent value added tax and duties tribunal that membership subscription income of the Civil Service Pensioners Alliance does not qualify for exemption from VAT, two other pensioner associations were found not to he taxing such income. Customs and Excise is currently amending its public and internal guidance with a view to identifying any other associations affected by this decision. Not all of the subscription is taxable—for example. if it covers such items as a newsletter, which is 1047W zero-rated. The decision, which is not being made retrospective, will not affect the amount of revenue collected to any significant extent.
§ Sir Andrew BowdenTo ask the Chancellor of the Exchequer what plans he has to review the VAT status of subscriptions to occupational pensioner groups; and if he will grant them VAT exempt status. [6135]
§ Mr. Heathcoat-AmoryThe independent value added tax and duties tribunal recently ruled that, under the EC sixth VAT directive there was no scope to exempt from VAT the membership subscription income of the Civil Service Pensioners Alliance. I have no plans to review the VAT liability of subscriptions to occupational pensioner groups. However, not all of the subscription is taxable if it covers items such as a newsletter, which is zero-rated.