Finance Bill - continued        House of Commons
PART IV, OTHER TAXES - continued

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Landfill tax
Landfill tax: rate.     104. - (1) In section 42 of the Finance Act 1996 (amount of landfill tax), in subsections (1)(a) and (2) for "£11" substitute "£12".
      (2) This section has effect in relation to taxable disposals made, or treated as made, on or after 1st April 2001.
Climate change levy
Climate change levy.     105. - (1) Schedule 6 to the Finance Act 2000 (climate change levy) is amended as follows.
      (2) After paragraph 11 insert-

"Exemption: Northern Ireland gas supplies
 11A. A supply of gas is exempt from the levy if-
    (a) the supply is made by a gas utility, and
    (b) the person to whom the supply is made intends to cause the gas to be burned in Northern Ireland.".
      (3) In paragraph 14(2) (exemption for supplies to electricity producers does not apply to supplies to exempt unlicensed electricity suppliers, no matter what the electricity they produce is used for), at the end insert-
    " , and
    (c) uses the electricity produced otherwise than in exemption-retaining ways.".
      (4) For paragraph 14(3)(c) (uses of electricity produced by an auto-generator that cause auto-generator to lose benefit of exemption for supplies to electricity producers), substitute-
    "(c) uses the electricity produced otherwise than in exemption-retaining ways.".
      (5) In paragraph 14, after sub-paragraph (3) insert-
    "(3A) For the purposes of this paragraph, electricity is used in an "exemption-retaining" way if it is used-
    (a) in making supplies that are excluded under paragraphs 8 to 10 or exempt under any of paragraphs 11, 12 and 18, or
    (b) in any of the ways mentioned in sub-paragraphs (i) to (iv) of paragraph 13(b).".
      (6) In paragraph 15(1)(a) (exemption for supplies to combined heat and power stations), for "the commodity is to be used by that person" there is substituted "that person intends to cause the commodity to be used".
      (7) The amendments made by this section have effect in relation to supplies made on or after 1st April 2001.
Inheritance tax
Transfers within group etc.     106. - (1) Section 97 of the Inheritance Tax Act 1984 (transfers within group etc.) is amended as follows.
      (2) In subsection (1) (minority participators in close company to be excluded from apportionment under section 94) for paragraph (a) (disposals to which section 171(1) of the Taxation of Chargeable Gains Act 1992 applies which are also transfers of value) substitute-
    "(a) there is-
      (i) a disposal of an asset by the transferor company, which is a disposal to which section 171(1) of the 1992 Act applies, or
      (ii) by virtue of an election under section 171A(2) of that Act, a deemed transfer by the transferor company to another member of the group,
    (aa) the disposal is also, or the deemed transfer gives rise to, a transfer of value, and".
      (3) The amendment made by this section has effect, and shall be taken always to have had effect, in relation to disposals made, or transfers deemed to have been made, on or after 1st April 2000.
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