10 January 2022

Dear Rebecca,

Welsh Tax Acts etc. (Power to Modify) Bill

During the evidence session on 22 December 2021, the Committee explored the potential costs of

implementing changes to Welsh Tax Acts, given that the costs in the Explanatory Memorandum are

unknown. Referring to the actual costs of implementing immediate changes to the Land Transaction

Tax rates and thresholds in response to the UK Government’s changes to Stamp Duty Land Tax in July

2020, you said on 22 December 2021 that:

“That cost very little. I don't have the exact figure in front of me, but I remember at the time the WRA

in a meeting were very pleased at how little it cost and how they were able just to absorb it within

their normal operating and how they were able to just respond so very quickly and effectively.”

The Committee would like to understand the potential costs involved in implementing any

subordinate legislation arising from the Bill, such as updating systems, forms, guidance and

communicating any changes. As a recent and concrete example of implementing tax changes at

pace, we would be grateful for a breakdown of the actual costs associated with implementing the

Land Transaction Tax (Temporary Variation of Rates and Bands for Residential Property Transactions)

(Wales) Regulations 2020 to assist our Stage 1 scrutiny.

Yours sincerely,

Y Pwyllgor Cyllid — Finance Committee

Senedd Cymru Bae Caerdydd, Caerdydd, CF99 1SN

SeneddCyllid@enedd.cymru senedd.cymru/SeneddCyllid

0300 200 6565

— Welsh Parliament

Cardiff Bay, Cardiff, CF99 1SN SeneddFinance@senedd.wales

senedd.wales/SeneddFinance 0300 200 6565

Rebecca Evans MS

Minister for Finance and Local Government

Peredur Owen Griffiths MS

Chair, Finance Committee

Croesewir gohebiaeth yn Gymraeg neu Saesneg.

We welcome correspondence in Welsh or English.