Chamber
Meeting of the Parliament 07 June 2012
07 Jun 2012 · S4 · Meeting of the Parliament
Item of business
Taxation
Mr Mason makes an important point about the progressive character of the Government’s proposals. We are obviously interested in the public’s views on that. We think that there is an opportunity to deliver a more progressive system than that which we have. There are illustrations in the consultation document that show how people on lower incomes who are undertaking lower-cost property transactions—principally first-time buyers—would be advantaged by our approach. Clearly, the consultation is an opportunity for members of the public and different organisations to express their views about that and we look forward to hearing those views.
In relation to the wider question about the utilisation of tax systems, in my statement I cited the principles that were set down by Adam Smith in “The Wealth of Nations” in 1776, the first of which is that the tax paid should be proportionate to the ability to pay. That very important principle lies at the heart of the Government’s thinking, although I am not sure what other people in the Parliament think of that particular important principle.
In relation to the wider question about the utilisation of tax systems, in my statement I cited the principles that were set down by Adam Smith in “The Wealth of Nations” in 1776, the first of which is that the tax paid should be proportionate to the ability to pay. That very important principle lies at the heart of the Government’s thinking, although I am not sure what other people in the Parliament think of that particular important principle.
In the same item of business
The Presiding Officer (Tricia Marwick)
NPA
The next item of business is a statement by John Swinney on the Scottish Government’s approach to taxation. The cabinet secretary will take questions at the ...
The Cabinet Secretary for Finance, Employment and Sustainable Growth (John Swinney)
SNP
I wish to update Parliament on the Government’s proposals for the future of taxation in Scotland in the context of our economic and constitutional aspiration...
The Deputy Presiding Officer (John Scott)
Con
The cabinet secretary will take questions on the issues raised in his statement. I intend to allow around 30 minutes for questions, after which we will move ...
Ken Macintosh (Eastwood) (Lab)
Lab
I thank the cabinet secretary for giving the chamber notice of at least some of the Scottish Government’s thinking on taxation. We have heard a great deal th...
John Swinney
SNP
First, on the question of tax rates, I have in the consultation document set out a couple of proposals on how the land and buildings transaction tax could be...
Gavin Brown (Lothian) (Con)
Con
I thank the cabinet secretary for advance sight of his statement and the consultation document.It is just what we have always wanted—yet another quango. The ...
John Swinney
SNP
I thought that Mr Brown would welcome the fact that the Government is taking forward an approach that is designed to deliver efficiency and savings to the pu...
The Deputy Presiding Officer
Con
Thank you very much. We have 13 members waiting to ask questions, so to get everyone in from now on, brief questions and answers would be welcome.
Mark McDonald (North East Scotland) (SNP)
SNP
It is nice to be foremost in Gavin Brown’s thoughts. Further on in the Official Report of the Finance Committee meeting to which Mr Brown referred, HMRC stat...
John Swinney
SNP
My final point in response to Mr Brown is the key point in this respect. SEPA and Registers of Scotland are already involved in part of the transactions in q...
Rhoda Grant (Highlands and Islands) (Lab)
Lab
The cabinet secretary has said that he wishes Registers of Scotland to collect the land and buildings transaction tax. He also states that he wants collectio...
John Swinney
SNP
Registers of Scotland has some significant IT infrastructure projects that are under way and it has taken forward significant developments in its IT infrastr...
John Mason (Glasgow Shettleston) (SNP)
SNP
Given the gap in our society between the rich and the poor, I welcome the cabinet secretary’s proposal to move to a more progressive tax regime. Does he agre...
John Swinney
SNP
Mr Mason makes an important point about the progressive character of the Government’s proposals. We are obviously interested in the public’s views on that. W...
Kezia Dugdale (Lothian) (Lab)
Lab
Will the cabinet secretary explain how he squares his Government’s progressive principles with his desire to cut corporation tax and kick-start a race to the...
John Swinney
SNP
I believe that cutting corporation tax would assist in creating employment in Scotland and I am utterly focused on creating new jobs and new employment to cr...
Stuart McMillan (West Scotland) (SNP)
SNP
I welcome the statement and its progressive nature. I am not surprised that the Conservatives do not welcome it, but I am extremely surprised that the Labour...
John Swinney
SNP
The first point—this is an important caveat—is that we have yet to come to specific decisions about tax rates and, as I said to Mr Macintosh, they will be se...
Willie Rennie (Mid Scotland and Fife) (LD)
LD
I thank the cabinet secretary for an advance copy of the statement and the consultation document. He talks radically about the powers that he wants, but he i...
John Swinney
SNP
I am bit surprised by Mr Rennie’s comments, because he should know that what gets me out of my bed in the morning is the service of Scotland—or more particul...
Joe FitzPatrick (Dundee City West) (SNP)
SNP
I, too, welcome the statement and the progressive nature of the proposals, which many of our colleagues in the trade union movement would support. What discu...
John Swinney
SNP
The Government has on-going discussions with our trade unions. I see PCS regularly, and we will talk to it about such points. It is important that we focus o...
Neil Findlay (Lothian) (Lab)
Lab
My colleague Mark Griffin and I could not believe our eyes a moment ago, when we saw that well-known redistributive socialist Mr Ewing, who is sitting to the...
John Swinney
SNP
I respectfully encourage Mr Findlay to take up the Government’s offer of a free eye test. I did so myself last week, and can confirm that I can see Mr Findla...
Chic Brodie (South Scotland) (SNP)
SNP
I welcome the clarity of, and the proposals in, the statement.What discussions have taken place or will take place with HMRC and the Office for Budget Respon...
John Swinney
SNP
Those are essentially discussions to be had between the Scottish Government and the United Kingdom Government through the Joint Exchequer Committee. As Mr Br...
Elaine Murray (Dumfriesshire) (Lab)
Lab
Many people in my constituency work on one side of the border and live on the other. HMRC will write to people to ask them where they live, but there is no o...
John Swinney
SNP
Those are material issues that relate to the implementation of the Scottish rate of income tax and, if my reading of the Official Report of the Finance Commi...
Linda Fabiani (East Kilbride) (SNP)
SNP
The cabinet secretary will be aware that there is a highly skilled workforce in Centre 1 at East Kilbride that will be well up to doing the income tax job th...
John Swinney
SNP
It is important that we utilise the experience that we already have, which is why I took the decision to utilise Registers of Scotland and SEPA, which have s...