§ Norman BakerTo ask the Chancellor of the Exchequer (1) how many forward contracts have been agreed by the Inland Revenue to allow taxpayers to negotiate a fixed regular payment of tax in place of the submission of an annual return in each year from 1997 to date; how many such agreements are in place; when such an agreement was first made; under what circumstances such agreements are made; and what the annual income is to the Inland Revenue from such agreements; [49292]
(2) how many UK taxpayers who make fixed regular payment in lieu of the submission of an annual return enjoy non-domicile status. [49293]
§ Dawn Primarolo[holding answer 15 April 2002]: The Inland Revenue has made a small number of such agreements, entered into at various dates since 1988, some involving taxpayers domiciled outside the United Kingdom. Typically, the arrangements agree a practical basis for taxing future income and gains where there would otherwise be particular difficulties in establishing an exact figure.
Three agreements involving fixed regular payments were made since the start of 1997, but none of these is now considered current. Two have expired. The Inland Revenue is contending in court proceedings that the third is invalid.