The Bill creates an aggregates tax and states that this tax will be administered by Revenue Scotland.
The Bill explains what type of aggregate should be taxed, who should pay the tax, and exemptions from the tax. The Bill explains how the tax should be calculated and gives the Scottish Ministers the power to set the rate of tax. The Bill also creates several penalties, including a penalty for anyone who does not pay the tax when they are required to do so.
The Bill also makes changes to the Revenue Scotland and Tax Powers Act 2014. These changes include:
how Revenue Scotland can communicate with taxpayers
powers to let Revenue Scotland automate some of its work (this could include work being done by devices such as computers)
what Revenue Scotland can do in situations where a person is owed money from Revenue Scotland but also owes money to Revenue Scotland.
Why the Bill was created
The Finance Act 2001 provides for a UK aggregates levy. The Scotland Act 2016 allows Scotland to create its own aggregates tax, to replace the UK levy. Three other taxes have already been devolved to Scotland.
These are the Land and Buildings Transaction Tax, the Scottish Landfill Tax and the Air Departure Tax. This Bill sets out the aggregates tax to be created for Scotland.
The Bill also makes changes to the Revenue Scotland and Tax Powers Act 2014 about how Revenue Scotland manages Scottish taxes. Including them in this Bill avoids the need for a separate Bill.
All Bills introduced in the Parliament must be accompanied by specific documents. For most Bills, this includes:
Explanatory Notes: this document provides an overview of what the Bill does, plus a more detailed explanation of individual provisions.
Policy Memorandum: this sets out the objectives of the Bill. It also lists any alternatives considered, details of consultations, and an assessment of the effects of the Bill on a range of areas.
Financial Memorandum: this sets out estimates of costs, savings, and any changes to revenues expected to result from the Bill.
Delegated Powers Memorandum: this is needed if a Bill gives powers to make subordinate legislation or allows Scottish Ministers to issue directions, guidance or codes of practice.
Statements on legislative competence: two short statements, one by the Presiding Officer and one by the Member introducing the Bill. “Legislative competence” means the powers the Parliament has to make law.
Financial Resolution
The Presiding Officer has decided under Rule 9.12 of Standing Orders that a financial resolution is required for this Bill.
For each Bill, the Presiding Officer must decide if a 'Financial Resolution' is required. The main reasons a Bill would need a Financial Resolution are that:
it would be likely to increase public spending significantly
it would be likely to increase taxation, or would require certain payments to be made.
If a Bill requires a Financial Resolution:
only the Scottish Government can propose it, usually at the end of Stage 1
until a Financial Resolution is agreed, Stage 2 can’t get under way.
Research on the Bill
The Scottish Parliament's Information Centre (SPICe) prepares impartial research and analysis to assist MSPs in their examination of Bills and other parliamentary business.
At Stage 1, the Bill is given to a lead committee. This is usually the committee whose remit most closely relates to the subject of the Bill. The lead committee will consider and report on the Bill. Other committees may also examine the Bill and report to the lead committee. Finally, there is a debate and vote by all MSPs on the general principles of the Bill. If the general principles are not agreed to, then the Bill ‘falls’ and can’t become law.
Timetable for Stage 1
The Parliament agreed that consideration of the Bill at Stage 1 be completed by 17 May 2024.
The lead committee will usually examine the Bill through evidence sessions. This will involve contributions from individuals and organisations, known as 'witnesses', with knowledge of the subject matter. The committee might also discuss the Bill in private sessions.
Call for views (closed)
The Finance and Public Administration Committee held a call for views to help inform its examination of the Bill.
The Committee received 10 submissions to its call for views.
If a Bill is relevant to more than one committee, 'secondary committees' may consider and report on the general principles of the Bill to the lead committee. Some Bills may also be considered by the Delegated Powers and Law Reform Committee or the Finance and Public Administration Committee.
Text of motion: That the Parliament, for the purposes of any Act of the Scottish Parliament resulting from the Aggregates Tax and Devolved Taxes Administration (Scotland) Bill, agrees to— (a) any expenditure of a kind referred to in Rule 9.12.3A of the Parliament’s Standing Orders arising in consequence of the Act, and (b) any tax imposed in consequence of the Act in relation to which Rule 9.12.3B(a) of the Parliament’s Standing Orders applies.
Submitted by: Shona Robison
Date lodged: Friday, 05 April 2024
Motion reference: S6M-12713
Current status: Taken in the Chamber on Thursday, 16 May 2024
Parliament agreed the general principles of the Bill
The Bill ended Stage 1 on 16 May 2024
Stage 2: changes to the Bill
At Stage 2, MSPs can propose changes to a Bill. These are called 'amendments'. Any MSP can suggest amendments but only members of the Stage 2 committee can decide on them.
Meeting on amendments
Documents with the amendments considered and debated at the meeting held on 11 June 2024.
A Stage 2 'Marshalled List' is a list of all the amendments that have been lodged at Stage 2 (or, if the Stage is mid-way through, all those still to be dealt with). They are listed in the order in which they will be called by the convener and then decided on.
A 'Groupings' list shows how the amendments that are listed in the Marshalled List have been grouped together for debate. Each group contains amendments that are related to each other, even if they are at different places in the Marshalled List.
Sometimes an amendment at Stage 2 makes substantial changes to a bill. If this happens, the Accompanying Documents need to be updated to explain what these changes are.
At Stage 3, MSPs can propose further amendments (changes) to the Bill. These are debated and decided on in the Debating Chamber. At this stage, all MSPs can vote on them. There is then a debate on whether to pass the Bill. If the Bill is not passed, it ‘falls’ and can't become law.
Debate on proposed amendments
Documents with the amendments considered and debated at the meeting on 1 October 2024.
A Stage 3 'Marshalled List' is a list of all the amendments that have been proposed at Stage 3 and that have been selected by the Presiding Officer. They are listed in the order in which they will be called by the Presiding Officer and then decided on.
A 'Groupings' list shows how the amendments that are listed in the Marshalled List have been grouped together for debate. Each group contains amendments that are related to each other, even if they are at different places in the Marshalled List.
‘Timed Groupings’ are usually produced at Stage 3 and set out how long Parliament expects to spend debating the groups of amendments.
Final debate on the Bill
Once MSPs have decided on the amendments, they debate whether to pass the Bill.
If the Bill is passed, it can receive Royal Assent and become an Act.
If the Bill is passed, it is normally sent for Royal Assent after about 4 weeks. Royal Assent is when the Bill gets formal agreement by the King and becomes an Act of the Scottish Parliament. Some Acts become law straight after Royal Assent. Some only come into force on a later date. Sometimes different bits of the same Act become law on different dates.
The Bill was passed on 1 October 2024 and became an Act on 12 November 2024.
