Asked by: Rebecca Paul (Conservative - Reigate)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to ensure HMRC is adequately resourced for changes in the level of VAT registrations by schools from 1 January 2025.
Answered by James Murray - Exchequer Secretary (HM Treasury)
HMRC is putting in place extra measures to support schools and ensure they can register for VAT on time. This includes new bespoke guidance, hosting webinars, updating VAT registration systems and training additional staff to manage increased demand for registrations.
HMRC are confident these actions will enable them to deliver the measure for the 1 January 2025 start date set out in the draft legislation published on 29 July. The final version of the legislation will be confirmed at Budget.
Asked by: Rebecca Paul (Conservative - Reigate)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the potential impact of independent schools recovering VAT through the Capital Goods Scheme on the benefit to the public purse of charging VAT on school fees.
Answered by James Murray - Exchequer Secretary (HM Treasury)
Following scrutiny of the Government’s costing by the independent Office for Budget Responsibility, the Government will confirm its approach to these reforms at the Budget on 30 October, and set out its assessment of relevant expected impacts in a Tax Information and Impact Note (TIIN).
Asked by: Rebecca Paul (Conservative - Reigate)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she plans to adjust the upper limit on house purchases using a Lifetime ISA in line with inflation.
Answered by Tulip Siddiq - Economic Secretary (HM Treasury)
Data from the latest UK House Price Index demonstrates that the average price paid by first-time buyers remains below the LISA property price cap in all regions of the UK.
Any unauthorised withdrawals are subject to a 25% withdrawal charge. This recoups the Government bonus, any interest or growth arising from it, and a proportion of the individual’s initial savings. HMRC is currently undertaking social research on the LISA with existing account holders and those who are eligible but have not opened a LISA.
HMRC commits to publishing all research in their Annual Report and Accounts. The findings from all strands of research on the LISA will be published in due course.
The Government keeps all aspects of savings tax policy under review.