Political Parties, Elections and Referendums Bill - continued        House of Lords

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SCHEDULE 15
 
  CONTROL OF DONATIONS TO CANDIDATES: NEW SCHEDULE 2A TO THE REPRESENTATION OF THE PEOPLE ACT 1983
 
 

 
 
 
Schedule 2A
 
  CONTROL OF DONATIONS TO CANDIDATES
  PART I
 
Operation and interpretation of Schedule
     1 - (1) This Schedule has effect for controlling donations to candidates at an election.
 
      (2) The following provisions have effect for the purposes of this Schedule.
 
      (3) "Relevant donation", in relation to a candidate at an election, means a donation which is made (whether before or after the date when he becomes a candidate) to the candidate or his election agent for the purpose of meeting election expenses.
 
      (4) "Donation" shall be construed in accordance with paragraphs 2 and 3 below.
 
      (5) "The 2000 Act" means the Political Parties, Elections and Referendums Act 2000.
 
      (6) "The Commission" means the Electoral Commission established by section 1 of that Act.
 
 
Donations: general rules
     2. - (1) "Donation", in relation to a candidate at an election, means (subject to paragraph 3)-
 
 
    (a) any gift to the candidate or his election agent of money or other property;
 
    (b) any money spent (otherwise than as permitted by section 73 above) in paying any election expenses incurred by the candidate, his election agent or any person authorised by his election agent;
 
    (c) any money lent to the candidate or his election agent otherwise than on commercial terms;
 
    (d) the provision otherwise than on commercial terms of any property, goods, services or facilities for the use or benefit of the candidate (including the services of any person); and
 
    (e) the provision of any sponsorship in relation to the candidate.
      (2) Any money or other property which is transferred to a candidate or his election agent for a consideration which is less than the value of the money or (as the case may be) the market value of the property shall be regarded as constituting a gift to the candidate or (as the case may be) his election agent.
 
      (3) In this paragraph-
 
 
    (a) any reference to anything being given or transferred to a candidate or his election agent includes a reference to its being given or transferred either directly or indirectly through any third person;
 
    (b) "gift" includes bequest.
 
Payments etc. not to be regarded as donations
     3. - (1) None of the following shall be regarded as a donation-
 
 
    (a) the provision of any facilities provided in pursuance of any right conferred on a candidate at an election by this Act;
 
    (b) the provision by an individual of his own services which he provides voluntarily in his own time and free of charge;
 
    (c) any interest accruing to a candidate or his election agent in respect of any donation which is dealt with by the candidate or (as the case may be) his election agent in accordance with section 51(2)(a) or (b) of the 2000 Act (as applied by paragraph 6 below).
      (2) There shall also be disregarded any donation whose value (determined in accordance with paragraph 4) is less than £50.
 
 
Value of donations
     4. - (1) The value of any donation falling within paragraph 2(1)(a) above shall be taken to be the market value of the property in question.
 
      (2) Where, however, paragraph 2(1)(a) above applies by virtue of paragraph 2(2) above, the value of the donation shall be taken to be the difference between-
 
 
    (a) the value of the money, or the market value of the property, in question, and
 
    (b) the consideration provided by or on behalf of the candidate or his election agent.
      (3) The value of any donation falling within paragraph 2(1)(c) or (d) above shall be taken to be the amount representing the difference between-
 
 
    (a) the actual cost (if any) to the candidate or his election agent, and
 
    (b) the cost that would have been incurred by the candidate or his election agent had the loan been made, or the property, goods, services or facilities been provided, on commercial terms.
      (4) The value of any donation falling within paragraph 2(1)(e) above shall be taken to be the value in monetary terms of the benefit conferred by the sponsorship in question on the donee; and any such value conferred on the sponsor shall be disregarded.
 
      (5) Where a donation such as is mentioned in sub-paragraph (3) or (4) above confers an enduring benefit on the donee over a particular period, the value of the donation-
 
 
    (a) shall be determined at the time when it is made, but
 
    (b) shall be so determined by reference to the total benefit accruing to the donee over that period.
      (6) In this paragraph "market value" in relation to any property, means the price which might reasonably be expected to be paid for the property on a sale in the open market.
 
 
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