§ Mr. OttawayTo ask the Chancellor of the Exchequer what estimate he has made of the aggregate cost to the Inland Revenue of issuing notices of pay-as-you-earn coding prior to 6 April 2000 for the tax year 2000–01 for 151W those aged 65 years and over which will have to be re-issued after 5 April 2000, in order to include an uplift in personal allowances as set out in section 257C TA1988. [115710]
§ Dawn PrimaroloThere is no requirement to issue revised notices of PAYE codings solely to reflect any rise in the levels of personal income tax allowances announced in the Budget.
§ Mr. OttawayTo ask the Chancellor of the Exchequer if he will estimate the interest on the revenue collected early from pensioners by the Exchequer through the temporary over-deduction of income tax caused by the Inland Revenue issuing pay-as-you-earn codings prior to 6 April 2000 for the tax year 2000–01 for those aged 65 years and over without taking account of section 257C TA1988. [115707]
§ Dawn PrimaroloNotices of coding issued to pensioners take full account of the requirements of sections 203 and 257C of the Income and Corporation Taxes Acts 1988.
§ Mr. OttawayTo ask the Chancellor of the Exchequer if, to prevent confusion, he will ensure that the only notice of pay-as-you-earn coding for the tax year 2000–01 pensioners receive before 6 April 2000 is based on the anticipated level of personal allowances for that year for those aged 65 years and over, increased as required by section 257C TA1988. [115708]
§ Dawn PrimaroloNo. We believe that this would itself lead to confusion and, in some circumstances, could mean that people underpaid tax which had to be recovered.