From the sublime to the ridiculous

KEY POINTS

• Alternative finance investment bonds.
• Providing a basis for Treasury payments.
• Enshrining extra-statutory concessions in law.
• The new rules on determining residency status.

The 21st sitting of the Public Bill Committee's consideration of Finance Bill 2008 started with a discussion of air passenger duty (APD) and seat pitch.

Currently the lowest cost travel on a flight is charged at the reduced rate of APD with travel in the more expensive seats being charged at the standard or higher rates.

The problem that has been identified — and which the travel industry had asked to be addressed — is that on say business class flights only that class would be the lowest priced and would therefore attract the reduced rate.

To counteract this Clause 147 amends the current definitions of classes...