Benefits in kind, mortgage interest tax relief, imp?ts and vehicle registration duty are all subject to amendments that would take the sting out of the proposals on the table, but which would also increase the Budget deficit.The proposals will be music to the ears of the groups planning a ‘Black Tuesday’ protest outside the States Chamber tomorrow to mark the start of the debate.
But they will all be hotly contested by a Finance and Economics Committee that has spelled out its determination to see their controversial plans passed through the House.The amendments include proposals to:Cap mortgage tax relief at the price of an average house for the previous year.Abolish all vehicle registration duty, or make hire cars exempt.Raise the duty on a bottle spirits by 20p, not 40p.Slow the increase in stamp duty.
Remove the increase on beer and cider.Increase the duty on a packet of cigarettes from 25p to 30p.Impose no tax on food and accommodation for tourism and agriculture workers as benefits in kind.Deputy Farnham made no apology for the fact that the amendments would lead to a slightly larger deficit.
He said that the ‘obsession’ about balanced Budgets showed a pessimistic view on behalf of Finance.
