From April 2018, Wales will have responsibility for two devolved taxes – on 24 February the Finance and Government Business Minister Jane Hutt invited people across Wales to engage in a conversation and share their views on the shape of future Welsh tax arrangements.
Stamp Duty Land Tax and Landfill Tax will be devolved to Wales from April 2018. They will be replaced by two new taxes – Land Transaction Tax (LTT) and Landfill Disposals Tax (LDT).
Views are being encouraged on the vision and values of the soon-to-be established Welsh Revenue Authority (WRA), which will collect and manage Welsh Taxes and on a Taxpayers’ Charter for Wales.
The Minister launched ‘A Welsh Tax Conversation’ during a visit to the St. Modwen housing development at Glan Llyn, a £1bn regeneration project on the site of the former Newport Llanwern steelworks – where she met recent house buyers.
Jane Hutt said:
“With the tax changes on the horizon, it is important that we develop a greater awareness of tax devolution. That is why I am today launching a ‘Welsh Taxes: A Conversation’ programme to engage people in a conversation on the devolved Welsh taxes.
“From April 2018, people buying houses like these at the St. Modwen development will be paying a Land Transaction Tax in Wales instead of UK Stamp Duty Land Tax, and the revenue raised by the devolved tax will help fund Welsh public services. It is therefore essential that people across the country are fully aware of these changes and that there is a smooth transition to the new tax arrangements.
“As part of this we need to consider how the relationship between devolved taxes, taxpayers and the soon-to-be created WRA should be established and operate. It will need to be built on trust and understanding, encourage and support taxpayers to meet their tax obligations whilst enabling the WRA to take a robust approach to tax avoidance and evasion. One of the ways in which the relationship can be achieved is through the use of a Taxpayers’ Charter.
“There are a number of ways to get involved in the conversation. I would encourage taxpayers, tax professionals and stakeholders across Wales to share their views with us on future devolved tax arrangements.”