Source · Select Committees · Treasury Committee
Recommendation 9
9
Rejected
Paragraph: 50
Five-yearly reviews identified as optimal system to remove outdated tax reliefs
Conclusion
We have taken evidence on several options for seeking to remove outdated tax reliefs from the statute book. A “one in, one out” rule for tax reliefs would be a blunt instrument which could reduce flexibility in policy-making. Sunset clauses have their place, but tax relief expiry dates can act against the certainty important to promoting long-term investment. A formal, structured system of five-yearly reviews would provide enough time to judge the effectiveness of a tax relief and allow an opportunity to remove those reliefs no longer meeting their objectives.
Government response summary AI-generated
The government rejected the recommendation for a formal five-yearly review system for tax reliefs, stating it already keeps tax reliefs under review and that such a system would be an ineffective use of resources and create uncertainty for taxpayers.
Paragraph Reference:
50
Government Response
The government responded to this report on 18 October 2023. No passage in that response could be matched to this conclusion. Read the response document ↗