Schedule 11 and 12 Finance (No. 2) Act, 1999 justification

Source: WhatDoTheyKnow
Authority: HM Treasury
Status: We're waiting for William Furlots to read recent responses and update the status.
Imported path: /opt/loancharge/imports/wdtk/requests/schedule_11_and_12_finance_no_2
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SOURCE: WhatDoTheyKnow
SOURCE_URL: https://www.whatdotheyknow.com/request/schedule_11_and_12_finance_no_2
TITLE: Schedule 11 and 12 Finance (No. 2) Act, 1999 justification
AUTHORITY: HM Treasury
AUTHORITY_URL: https://www.whatdotheyknow.com/body/hm_treasury
STATUS: We're waiting for
William Furlots
to read recent responses and update the status.
REQUEST_SLUG: schedule_11_and_12_finance_no_2
CAPTURED_AT: 2026-05-19T07:04:40+00:00
PROVENANCE: {"first_seen_at": "2026-05-18T12:53:06", "first_seen_page": "7", "first_query_term": "\"Loan Charge\"", "first_date_after": "2019/01/01", "first_date_before": "2020/01/01", "matched_query_terms": "\"Loan Charge\" | \"disguised remuneration\"", "matched_date_ranges": "2019/01/01 to 2020/01/01", "first_search_url_template": "https://www.whatdotheyknow.com/search/%22Loan%20Charge%22/requests?commit=Filter&query=%22Loan+Charge%22&request_date_after=2019%2F01%2F01&request_date_before=2020%2F01%2F01&request_variety%5B%5D=sent&request_variety%5B%5D=response&request_variety%5B%5D=comment&sortby=&utf8=%E2%9C%93&page="}

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MESSAGE 1 [outgoing]
HEADER: William Furlots
25 January 2019
Delivered
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Dear Her Majesty’s Treasury,
Can you provide the documents and/or policy outlining why the decision was made to capture loans made since 6th of April 1999 with the loan charge (DR) legislation announced at Budget 2016 and introduced in Finance (No. 2) Act 2017?
Please detail any decisions as to why 1999 was chosen rather than earlier or later years.
Yours faithfully,
William Furlots

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MESSAGE 2 [incoming]
HEADER: FOI Requests,
        HM Treasury
25 January 2019
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MESSAGE 3 [incoming]
HEADER: FOI Requests,
        HM Treasury
28 January 2019
--------------------------------------------------------------------------------
Thank you for your request for information which we are considering under the terms of the Freedom of Information Act 2000.
This is to confirm receipt of your request and to let you know that it is receiving attention. If you have any enquiries regarding your request do not hesitate to contact us.
Please note: HM Treasury has a dedicated email address for the public to make Freedom of Information requests: [HM Treasury request email]
Yours sincerely
Information Rights Unit | Correspondence and Information Rights | HM Treasury, 1 Horse Guards Road, London, SW1A 2HQ
www.gov.uk/hm-treasury
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MESSAGE 4 [incoming]
HEADER: FOI Requests,
        HM Treasury
18 February 2019
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1 Attachment
FOI2019 01219 Copy for requester 2019 02 18.pdf
582K
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Dear Mr Furlots
Please find attached a letter in response to your Freedom of Information
request.
For ease of reference, the attached letter contains the following
clickable hyperlink:
[1]
https://www.gov.uk/government/publicatio...
Yours sincerely
Information Rights Unit | HM Treasury, 1 Horse Guards Road, London, SW1A
2HQ   [2]www.gov.uk/hm-treasury
This email and any files transmitted with it are intended solely for the
use of the individual(s) to whom they are addressed. If you are not the
intended recipient and have received this email in error, please notify
the sender and delete the email. This footnote also confirms that our
email communications may be monitored to ensure the secure and effective
operation of our systems and for other lawful purposes, and that this
email has been swept for malware and viruses.
References
Visible links
1.
https://www.gov.uk/government/publicatio...
2.
http://www.gov.uk/hm-treasury

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ATTACHMENT: FOI2019_01219_Copy_for_requester_2019_02_18.pdf
TEXT_FILE: FOI2019_01219_Copy_for_requester_2019_02_18.pdf.txt
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OCR_USED: True
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--- PDF page 1 ---
RGR 
Information Rights Unit
HM Treasury
1 Horse Guards Road
HM Treasury 
London
SW1A 2HQ
Mr William Furlots 
020 7270 5000
foirequests@hmtreasury.gov.uk
www.gov.uk/hm-treasury
18 February 2019
Ref: FOI2019/01219
Dear Mr Furlots
Freedom of Information Act 2000: Charge on Disguised
Remuneration (DR) Loans
Thank you for your enquiry of 25 January 2019, which we have considered under the
terms of the Freedom of Information Act 2000 (the FOI Act).
You asked for the following information:
“Can you provide the documents and/or policy outlining why the decision was
made to capture loans made since 6th of April 1999 with the loan charge (DR)
legislation announced at Budget 2076 
and introduced in Finance (No. 2) Act 2017?
Please detail any decisions as to why 1999 was chosen rather than earlier or later
years.”
Following a search of our records, | can confirm that HM Treasury does hold information
within the scope of your request. 
‘
In relation to the first part of your request, the rationale for the introduction of the charge
on DR loans is publicly available. This is set out in the HMRC policy paper: disguised
remuneration: further update, which is available at the following hyperlink:
https://www.gov.uk/government/publications/disquised-remuneration-further-
update/disquised-remuneration-further-update
We consider that the information requested in the second part of your request engages
the exemption at section 35(1)(a) (development of government policy) under the FOI Act.
This is a qualified exemption and we are required to balance the public interest between
disclosure and non-disclosure.
In relation to the release of this information, we recognise that there is an inherent public
interest in transparency and accountability of public authorities. We also recognise the
broad public interest in furthering public understanding of the issues which public
authorities deal with. There is a clear public interest in the work of Government
departments being transparent and open to scrutiny to increase diligence.

--- PDF page 2 ---
Balanced against this, Ministers rely on free and frank advice from officials to inform the
policy development process. We consider that disclosure of the information that we hold
would inhibit the free and frank exchange of advice between HM Treasury Ministers and
their officials. It is important that this exchange can happen in a safe space so as not to
undermine the credibility of either side of the policy development that flows from the
advice. In this case, we consider that disclosing the information held, which includes
advice to Ministers, would be likely to prevent officials from conducting rigorous and
candid assessments of the options available to them, and that disclosure might close-off
discussions and the development of better options in the future. This would not be in the
public interest.
We therefore consider that the public interest lies in favour of withholding this
information.
If you have any queries about this letter, please contact us. Please quote the reference
number above in any future communications.
Yours sincerely
Information Rights Unit

--- PDF page 3 ---
Copyright notice
Most documents HM Treasury supplies in response to a Freedom of Information request,
including this letter, continue to be protected by Crown copyright. This is because they will
have been produced by Government officials as part of their work. You are free to use
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sector-information/uk-government-licensing-framework/crown-copyright/
Your right to complain under the Freedom of Information Act 2000
If you are not happy with this reply, you can request a review by writing to HM Treasury,
Information Rights Unit, 
1 Horse Guards Road, London SW1A 2HQ or by emailing us at the
address below. Any review request must be made within 2 months of the date of this
letter.
Email: foirequests@hmtreasury.gov.uk
It would assist our review if you set out which aspects of the reply concern you and why
you are dissatisfied.
If you are not content with the outcome of the review, you may apply directly to the
Information Commissioner for a decision. Generally, the Commissioner will not make a
decision unless you have exhausted the complaints procedure provided by HM Treasury
which is outlined above.
The Information Commissioner can be contacted at: The Information Commissioner's
Office, Wycliffe House, Water Lane, Wilmslow, Cheshire SK9 5AF (or via their website at:
https://ico.org.uk).
Loan Charge FOI

Schedule 11 and 12 Finance (No. 2) Act, 1999 justification

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Loan Charge FOI
