HC Deb 04 December 2002 vol 395 cc831-3W
Mr. Stephen O'Brien

To ask the Chancellor of the Exchequer what assurances have been received by him from officials in the relevant Government Departments in (a) the UK and (b) the USA that a mutually agreed agenda for ratification of the UK/US Double Taxation Convention has been fixed and is being adhered to. [84446]

Dawn Primarolo

It is not possible to fix a mutually agreed agenda for ratification of the new UK/USA Double Taxation Convention because the UK and USA have ratification procedures that lie outside the control of the Government Departments concerned. However, the ratification process was completed in the UK on 20 November 2002 and we expect the US Senate to consider the Convention early in 2003.

The Convention requires that the instruments of ratification shall be exchanged as soon as possible after each country has ratified the Convention. Both countries are moving as quickly as they can to achieve that.

Mr. Stephen O'Brien

To ask the Chancellor of the Exchequer when the Governments of the UK and the US expect to complete the process of ratification of the UK/US Double Taxation Convention signed on 24 July 2001. [84447]

Dawn Primarolo

The ratification process for the new UK/USA Double Taxation Convention was completed in the United Kingdom on 20 November 2002. In the US the convention has been transmitted to the Senate, which is expected to consider it early in 2003. Instruments of ratification will be exchanged by the two Governments as soon as possible after the Senate has given its advice and consent to ratification.

Mr. Stephen O'Brien

To ask the Chancellor of the Exchequer when the Government expect to announce to business and other interested parties(a) the date on which the UK/US Double Taxation Convention will come into force and (b) the date on which its provisions will take effect. [84448]

Dawn Primarolo

The UK/USA Double Taxation Convention will enter into force on the same day that instruments of ratification are exchanged by the two governments. When that has taken place, an announcement will be published in the London, Edinburgh and Belfast Gazettes. The Inland Revenue will also publish a News Release announcing the entry into force date and a statement will appear on its website.

The provisions of the Convention will take effect in accordance with the provisions of Article 29 of the Convention, and will flow automatically from the entry into force date.

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