§ Mr. DarlingTo ask the Chancellor of the Exchequer what are the principal reasons for the reduction in forecast receipts from the insurance premium tax in 1994–95 and 1995–96 contained in table 4A.1 of the "Financial Statement and Budget Report 1995–96" compared with the equivalent figures in table 4.1 of the "Financial Statement and Budget Report 1994–95".
§ Mr. Heathcoat-Amory[holding answer 16 January 1995]: Revision to the forecast for insurance premium tax for 1994–95 reflects the decision made after the publication of the 1994 FSBR to change from monthly to quarterly tax returns. This is expected to delay some receipts from 1994–95 into 1995–96. The revision to receipts for 1995–96 is well within likely forecasting error, but reflects a revised view of the likely trend of lower premiums.
§ Mr. DarlingTo ask the Chancellor of the Exchequer what representations he has received from the insurance industry in response to the consultations he announced on 29 November 1994 on his proposals to extend the powers of Customs and Excise in connection with the collection of insurance premium tax.
§ Mr. Heathcoat-Amory[holding answer 16 January 1995]: Representations were received from the Association of British Insurers, which represents insurance companies that will account for the vast majority of insurance premium tax. Representations concerned the implementation and application of the tax and they have been taken into account in drafting legislation.