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New Cars

Volume 195: debated on Tuesday 23 July 1991

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To ask the Chancellor of the Exchequer what revenue was received in 1990–91 from value added tax on sales of new cars; and what is the estimated revenue for 1991–92.

An estimated £2·6 billion in valued added tax was received in 1990–91 from the sale of new cars. A corresponding figure for 1991–92 is not available.

To ask the Chancellor of the Exchequer what is the rate of total sales tax as a percentage of the retail price on new cars of two litres or less in the United Kingdom; and what are the comparable figures for Belgium, France, Italy and Spain, respectively.

Rates of total sales tax as a percentage of the retail price on new volume cars of two litres or less in the United Kingdom, Belgium, France, Italy and Spain according to the latest information available, are as follows:

Total sales tax as a percentage of the retail price on new volume cars of two litres or less
CountryPer cent.
United Kingdom21·4
Belgium20
France18
Italy16
Spain24·8