§ Mr. Andrew Smith
To ask the Chancellor of the Exchequer how much of the yield in 1998–99 to the Inland Revenue forecast in the "Financial Statement and Budget Report 1996–97", resulting from the change to self-assessment, is attributable to(a) business growth and (b) changing from the previous year to current year basis. 
§ Mr. Jack
[holding answer 5 February 1996]: As I said in the debate on clause 112 of the Finance Bill, Official Report, 25 January 1996, column 530, just over £700 million of the 1989–99 self-assessment yield shown in table 5B.2 of the "Financial Statement and Budget Report 1996–97" relates to income tax and class 4 national insurance contributions on the profits of trades, professions and vocations. This yield is almost wholly attributable to the interaction between the assumed growth in taxable profits and the move from the preceding year basis of assessment to the current year basis. If either of those factors were not present, there would be no significant effects on tax receipts from these sources of income attributable to self-assessment.