§ Mr. Boris JohnsonTo ask the Secretary of State for Culture, Media and Sport what recent discussions she has had with the Treasury on tax on pre-owned assets. [179180]
§ Mr. CabornChanges to the taxation regime are a question for my right hon. Friend the Chancellor of the Exchequer. Measures to amend the tax treatment of pre-owned assets, intended to deter abuse of the inheritance tax "gift with reservation" rules, were announced on 10 December 2003 in the pre-Budget report.
The Minister for Media and Heritage—my right hon. Friend, Lord McIntosh of Haringey—wrote to the Paymaster-General in February to ensure that consequences for heritage assets were taken into account in the detailed workings of the income tax charge on pre-owned assets.
Details of the charge, and proposals for further consultation on valuation and the rates of return for chattels and intangibles, are included in Inland Revenue 'Budget Notice 40: Tax Treatment of Pre-Owned Assets'.