Overview

This bill proposes to disqualify members of the UK Parliament (both the House of Commons and the House of Lords) who do not meet specific UK tax residency and domicile requirements. It mandates declarations of tax compliance and sets out penalties for non-compliance.

Description

The bill establishes new disqualification criteria for MPs and Lords. To remain in Parliament, individuals must:

• Have been UK resident for tax purposes (as defined in Part 14 of the Income Tax Act 2007) in the year of election/appointment and every subsequent tax year.
• If a non-domiciled UK resident, they cannot have claimed the remittance basis of taxation in the year of election/appointment or any subsequent year as an MP.

Members must submit declarations to the relevant authority (the Speaker of the House of Commons or the Lord Speaker) within 30 days of election/appointment. Existing MPs must declare within 30 days of the Act coming into force and then before each subsequent election. Existing Lords must declare between February 1st and April 5th each year. Failure to submit a declaration leads to disqualification. The bill does not apply to tax years prior to its enactment.

Government Spending

The bill is not expected to significantly increase or decrease government spending. The administrative costs associated with processing declarations are likely to be minimal.

Groups Affected

• Members of Parliament (MPs and Lords): Those who do not meet the residency and tax compliance requirements will face disqualification. Existing members will need to make declarations under the bill's requirements.
• The Speaker of the House of Commons and the Lord Speaker: They will be responsible for receiving and processing declarations from MPs and Lords respectively.

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