Finance Bill

I am afraid that the Economic Secretary has not dealt with the issues that amendments Nos. 89, 90 and 91 raise. It may surprise her to know that I did not dream up the problem all on my own. If I doubted my ability to analyse the complex provision, I do not doubt that of others who have pressed the point. I have read and re-read the Bill in the light of the Government's comments. It states:"““Condition A is that an individual makes a material disposal of business assets””" and"““Condition B is that the individual makes the disposal””—" which the Economic Secretary has clarified as the associated disposal—"““as part of the withdrawal of the individual from participation in the business””." The guidance notes make it clear that the satisfaction of condition A—that a material disposal of business assets has been made—constitutes a withdrawal of the individual from participation in the business because it necessarily involves the individual reducing his or her interests in the assets of the partnership or their holding in the company. Condition B will therefore be satisfied. I do not believe that the Economic Secretary has made the case so I wish to place on record our concern that the matter could leave this place unclarified, and there is no other stage of the Bill's passage when it could be tackled. I therefore urge my hon. Friends to support the amendment. Question put, That the amendment be made:— The House divided: Ayes 198, Noes 277.