§ Mr. PikeTo ask the Chancellor of the Exchequer what plans he has for changes in relation to the tax position on weekly covenanted charity donations; and if he will make a statement. [11940]
§ Mr. JackThe strict application of the provisions governing lower rate taxpayers making covenants on which charities can claim relief at the basic rate from the Inland Revenue could mean that more tax may be due from taxpayers whose marginal rate is the lower rate. In practice, however, the Revenue exercises its judgment in determining what priority should go to recovering relatively minor amounts where such a shortfall arises, and the covenantor will often not be asked for the difference. I have no plans to change procedures.