Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether he has made a comparative assessment of the effect on the revenue that has accrued to the public purse of other EU countries of the introduction of a deferred payment of capital gains tax for trusts ceasing to be resident or non-resident individuals who trade through a national branch or agency.

The introduction of a deferred payment of capital gains tax for trusts ceasing to be resident or non-resident individuals who trade through a national branch or agency (Clause 36 of the draft Finance Bill) is not expected to have any impact on the revenue accruing to the public purse of other EU countries.

The effect of clause 36 is that those migrating trusts and non-resident individuals who defer capital gains tax as a result of the measure will still pay the same amount of tax in the UK, but over a longer period with interest charged on outstanding amounts.