draft Wales Bill

Safbwynt Llywodraeth Cymru ar ddrafft Bil Cymru

1) Cyflwyniad

2) Materion 'Silk 1' nad yw drafft Bil Cymru wedi ymdrin â nhw

3) Materion 'Silk 1' y mae drafft Bil Cymru wedi ymdrin â nhw

4) Y cyfnodau nesaf

1) Cyflwyniad

1. Cyhoeddodd Llywodraeth y DU ddrafft Bil Cymru ar 18 Rhagfyr (ar gael yn: https://www.gov.uk/government/publications/draft-wales-bill). Diben y Bil yw caniatáu gweithredu'r diwygiadau ariannol y cytunodd Llywodraeth y DU â nhw mewn ymateb i adroddiad cyntaf y Comisiwn Silk (sydd i'w weld yn https://www.gov.uk/government/publications/empowerment-and-responsibility-devolving-financial-powers-to-wales).

2. Mae Llywodraeth Cymru yn croesawu'r cyhoeddiad. Er bod agweddau ar y drafft y gellid eu cryfhau, mae serch hynny yn gam pwysig tuag at weithredu'r broses diwygio ariannol.

3. Mae'r Pwyllgor Materion Cymreig yn gwneud y craffu cyn-deddfu ar ddrafft Bil Cymru. Cyflwynais i a'r Prif Weinidog dystiolaeth lafar i'r Pwyllgor ar 20 Ionawr.

4. Mae'r papur hwn yn crynhoi safbwynt polisi Llywodraeth Cymru ar brif rannau 'Silk' y Bil drafft. Ceir crynodeb yn atodiad 1 o safbwynt cychwynnol Llywodraeth Cymru ar bob cymal.

5. Rwy'n parhau i gynnal cyfarfodydd adeiladol gyda Gweinidogion i gytuno'n derfynol ar bwyntiau negodi, ac yn fwy cyffredinol i oruchwylio hynt y Bil. Mae trafodaethau'n mynd rhagddynt gyda Llywodraeth y DU i bwyso ar agweddu ar y Bil neu egluro materion. Mae llawer o'r manylion technegol a chyfreithiol yn cael eu hystyried o hyd, felly gallai safbwynt Llywodraeth Cymru fod yn destun trafodaethau parhaus rhwng ein cyfreithwyr ni a chyfreithwyr Llywodraeth y DU.

6. Nid yw'r papur hwn yn rhoi sylw ar y gymalau yn nrafft Bil Cymru sy'n ymwneud â materion heblaw rhai 'Silk':

cymalau 1-5: sy'n ymdrin â materion cyfansoddiadol fel pryd mae cynnal etholiadau'r Cynulliad Cenedlaethol a phwy sy'n gymwys i fod yn Aelod Cynulliad;

cymal 20: sy'n ymdrin â'r terfynau benthyg ar gyfer awdurdodau tai lleol;

cymal 21: sy'n ymdrin â gwaith Comisiwn y Gyfraith.

2) 'Materion 'Silk 1' nad yw drafft Bil Cymru wedi ymdrin â nhw

7. Nid oes angen deddfwriaeth sylfaenol y DU ar gyfer holl argymhellion Silk Rhan 1. Yn benodol, rwy'n cael ar ddeall na all Llywodraeth y DU ddatganoli'n llawn ar ardrethi annomestig heb ddeddfwriaeth bellach oherwydd eu bod eisoes wedi'u datganoli'n rhannol i Gymru.

8. Yn yr un modd, bydd y pwerau y mae Llywodraeth Cymru wedi'u hetifeddu gan Awdurdod Datblygu Cymru yn caniatáu benthyg gynnar, wedi i Lywodraeth y DU gytuno â hyn a gwneud y newidiadau gweinyddol gofynnol.

3) 'Materion 'Silk 1' y mae drafft Bil Cymru wedi ymdrin â nhw

Treth incwm

9. Mae'r Bil yn darparu ar gyfer datganoli treth incwm yn rhannol, os bydd pobl Cymru yn cytuno ar hyn mewn refferendwm, ac yn amlinellu'r trefniadau ar gyfer refferendwm. Fodd bynnag, nid yw'r math o ddatganoli treth incwm yn cyd-fynd ag argymhelliad y Comisiwn Silk, a fyddai wedi caniatáu i ni amrywio cyfraddau'n annibynnol. Yn hytrach, mae dull 'camu clos' yn cael ei gynnig i ni sy'n golygu y byddai'n rhaid i ni newid yr holl gyfraddau, a hynny gan yr un swm ar yr un pryd.

10. Rwyf i a'r Prif Weinidog wedi datgan safbwynt Llywodraeth Cymru ar y mater hwn yn glir, sef y dylid cymhwyso argymhellion Silk yn llawn. Mae hyn yn golygu y dylai fod gan Gymru y pŵer i amrywio cyfraddau treth incwm yn annibynnol, cyn belled â bod refferendwm yn cefnogi hynny, a chyn belled â bod y mater o gyllid teg wedi cael ei ddatrys yn yr hirdymor.

11. Rwy'n parhau i bwyso ar Lywodraeth y DU i ailystyried hyn.

Treth trafodion tir ac eiddo, a threth tirlenwi

12. Mae'r Bil yn darparu ar gyfer rhoi terfyn ar gasglu a rheoli treth dir y dreth stamp a threth tirlenwi y DU yng Nghymru, a chaniatáu i'r Cynulliad gyflwyno'i dreth trafodion tir ac eiddo a threth tirlenwi ei hun. Mae Llywodraeth Cymru yn cefnogi hyn yn llawn. Mae fy nhrafodaethau cychwynnol gyda busnesau yn y sectorau adeiladu, tai ac eiddo wedi tanlinellu'r achos dros ddiwygio treth dir y dreth stamp.

13. Mae'r darpariaethau ym Mil Cymru ynghylch y ddau faes trethu hyn yn atgynhyrchu Deddf yr Alban gan fwyaf. Fodd bynnag, un agwedd newydd ar y Bil drafft y mae Llywodraeth Cymru yn ei gwestiynu yw'r broses ar gyfer ymdrin â thrafodion tir neu eiddo sy'n gorwedd ar draws ffin Cymru a Lloegr (mater nad yw'n codi yn yr Alban lle, oherwydd bod ganddynt awdurdodaethau cyfreithiol ar wahân, mae trafodion tir ac eiddo naill ai yn yr Alban neu yn Lloegr). Mae timau cyfreithiol Llywodraeth Cymru a Llywodraeth y DU wrthi'n ystyried y mater hwn ymhellach.

Trethi newydd

14. Mae'r Bil yn darparu ar gyfer creu trethi datganoledig newydd fesul achos, yn amodol ar gytundeb Llywodraeth y DU. Er nad oes unrhyw gynlluniau uniongyrchol gan Lywodraeth y DU i ddatblygu trethi newydd, mae hwn yn fesur polisi a allai fod yn ddefnyddiol at y dyfodol.

Benthyg ar gyfer buddsoddiad cyfalaf

15. Mae'r Bil yn darparu ar gyfer pwerau benthyg buddsoddiad cyfalaf o hyd at gyfanswm o £500 miliwn. Mae hwn yn ddechreuad da ond rwy'n credu bod achos dros osod lefel uwch, ac rwy'n dadlau'r achos hwn gyda Llywodraeth y DU.

Benthyg at ddibenion rheoli'r gyllideb

16. Mae'r Bil yn darparu ar gyfer pwerau benthyg o hyd at £500 miliwn i reoli amrywiadau cyllidebol tymor byr sy'n codi yn sgil datganoli trethi. Rydyn ni'n ystyried a yw hyn yn ddigonol.

Toll uniongyrchol ar deithwyr awyr pell

17. Yn ei hymateb i Silk 1, dywedodd Llywodraeth y DU nad oedd yn derbyn argymhelliad y Comisiwn i ddatganoli'r doll uniongyrchol ar deithwyr awyr pell, ac felly nid yw'n ymddangos yn y Bil. Serch hynny, rwy'n parhau i bwyso i ddatganoli'r dreth hon oherwydd fy mod i'n credu y byddai'n fesur polisi economaidd defnyddiol.

4) Y cyfnodau nesaf

18. Mewn ymateb i Silk Rhan 1, dywedodd Llywodraeth y DU mai ei nod fyddai deddfu yn ystod y Senedd hon, fel y mae Llywodraeth Cymru wedi galw amdano.

19. Mae cyhoeddi drafft Bil Cymru cyn y Nadolig, a chyhoeddiad y Pwyllgor Materion Cymreig ei fod yn bwriadu cyflwyno'i adroddiad "ddiwedd mis Mawrth", yn golygu y dylai fod digon o amser i basio'r Ddeddf cyn diwedd mis Mawrth 2015. Fodd bynnag, mae hyn yn sicr yn nwylo Llywodraeth y DU, a bydd angen iddi fwrw ymlaen os yw'r targed hwn am gael ei gyflawni.

20. Wrth fwrw ymlaen â'r agenda hwn, byddaf yn ceisio cydweithio â'r holl bleidiau yn y Cynulliad. Rwy'n credu bod y consensws a ddangoswyd gennym o blaid argymhellion Silk Rhan 1 yn elfen bwysig o ran darbwyllo Llywodraeth y DU ei bod yn bryd newid.

21. Byddaf yn hysbysu'r Pwyllgor Cyllid am ddatblygiadau allweddol wrth i'r gwaith hwn fynd yn ei flaen.

Jane Hutt AC

Y Gweinidog Cyllid

Chwefror 2014

PART 2
6. Taxation: introductory	This provides the structure within which the Welsh Government may legislate on tax, inserting a new Part 4A Chapter 1 into GOWA 2006.	Support. No policy issues arise directly from this clause.
7. Amendments relating to the Commissioners for Revenue and Customs	This amends the Commissioners for Revenue and Customs Act (CRCA) 2005 and the Customs and Excise Management Act 1979, to enable Her Majesty’s Revenue and Customs (HMRC) to: · disclose information to Welsh Ministers regarding devolved taxes; · to make such information confidential and subject to onward disclosure controls; and · to ensure that such devolved taxes are neither a function nor an “assigned matter” of HMRC, but remain a matter for Welsh Ministers, while leaving scope for HMRC to administer these taxes on behalf of Welsh Ministers if desired.	Agree that there will need to be new arrangements put in place to facilitate the Welsh and UK Governments sharing information with regard to the devolved taxes.
8. Welsh rate of income tax	This deals with the Welsh rate of income tax, inserting a new Part 4A Chapter 2 into GOWA 2006, consisting of: · 116C Power to set Welsh rate for Welsh taxpayers; · 116D Welsh taxpayers; · 116E Close connection with Wales or another part of the UK; · 116F Days spent in Wales or another part of the UK; · 116G Supplemental powers to modify enactments; · 116H Reimbursement of expenses; · 116I Report by the Comptroller and Auditor General.	Agree that income tax should be devolved to Wales, subject to a referendum (see clauses 10-12) and to resolution of the fair funding issue, as recommended by the Silk Commission. However, the WG disagrees with the proposed lock step approach, and instead advises that it should be able to vary each rate of income tax individually, as was recommended by the Silk Commission.
9. Income tax for Welsh taxpayers	This amends the Income Tax Act 2007 and the Provisional Collection of Taxes Act 1968 relating to income tax for Welsh taxpayers.	We understand that this mirrors the arrangements for Scotland and are on that basis content.
10. Referendum about commencement of income tax provisions 11. Proposal for referendum by Assembly 12. Commencement of the income tax provisions if majority in favour	Clauses 10 and 11 allow a referendum to be held in Wales about whether the income tax provisions in clauses 8 and 9 should come into force. Clause 12 sets out the procedure for the income tax provisions to come into force if a majority of voters in a referendum vote in favour.	Agree that a referendum should be held to enable the people of Wales to decide whether income tax varying powers should be devolved to Wales. We are unclear why the existing requirement in GOWA, for the Secretary of State to lay a draft Order within 120 days of an Assembly resolution, should now be extended to 180 days.
13. Welsh tax on transactions involving interests in land 14. Disapplication of UK stamp duty land tax	Clauses 13 and 14 together provide the mechanism for bringing to an end the collection and management of stamp duty land tax in Wales and allowing the Assembly to bring in its own land transaction tax.	Agree that Stamp Duty Land Tax should be devolved to Wales, enabling the Welsh Government to develop its own transaction tax.
15. Welsh tax on disposals to landfill 16. Disapplication of UK landfill tax	Clauses 15 and 16 together provide the mechanism for bringing to an end the collection and management of landfill tax in Wales and allowing the Assembly to bring in its own tax on disposals of waste to landfill.	Agree that Landfill Tax should be devolved to Wales, enabling the Welsh Government to develop its own tax.
17. Borrowing by the Welsh Ministers	This amends sections 121 and 122 of GOWA 2006 to revise the circumstances under which the Welsh Ministers may borrow and to set out the main controls and limits on such borrowing.	Agree that the Welsh Government should be able to borrow for cash management purposes following the devolution of taxes, and for capital investment. The Bill sets a borrowing ceiling of £500m for capital investment, which is a good start, however the Welsh Government believes this ceiling should be raised.
18. Repeal of existing borrowing powers	This repeals the paragraphs in Schedule 3 to the Welsh Development Agency Act 1975 that relate to borrowing and guarantees.	Agree that the existing powers should be repealed following introduction of the new borrowing powers.
19. Reports on the implementation and operation of this Part	This sets out the requirements for the Secretary of State and Welsh Ministers to report on the implementation and operation of the new finance powers.	Agree that the Welsh Government and Secretary of State for Wales should report on implementation of Part 2 of the Bill.
PART 4
22. Orders	This specifies that an Order made under this Act would be exercisable by statutory instrument.	Support.
23. Interpretation	This is the interpretation clause for the draft Bill.	Support.
24. Power to make supplementary, consequential, etc provision	This empowers HM Treasury, by order, to make such supplementary, incidental, consequential, transitional, transitory or saving provision as appears appropriate in connection with bringing into force the provisions in Part 2 (Finance).	Support.
25. Commencement	This sets out how the sections of the Bill are to be commenced.	Treasury powers to commence should be subject to a requirement to consult the Welsh Ministers.
26. Extent and short title	This sets out the territorial extent and short title of the Bill.	Support.
Schedules
1. Referendum about commencement of income tax provisions	Schedule 1 sets out a framework for the conduct of a referendum about bringing the income tax provisions into force.	Agree with the arrangements for the referendum, subject to further explanation of reasons for paragraph 4(3) limit on Assembly power to set a date for the referendum.
2. Welsh tax on land transactions: consequential amendments	This contains further amendments relating to the disapplication of stamp duty land tax in Wales, and provides for the supply of information to HMRC about land transactions in Wales.	Agree, subject to explanation of the process for apportioning transactions "on a just and reasonable basis" between Wales and England.

PART 2

6. Taxation: introductory

This provides the structure within which the Welsh Government may legislate on tax, inserting a new Part 4A Chapter 1 into GOWA 2006.

7. Amendments relating to the Commissioners for Revenue and Customs

This amends the Commissioners for Revenue and Customs Act (CRCA) 2005 and the Customs and Excise Management Act 1979, to enable Her Majesty’s Revenue and Customs (HMRC) to:

· disclose information to Welsh Ministers regarding devolved taxes;

· to make such information confidential and subject to onward disclosure controls; and

· to ensure that such devolved taxes are neither a function nor an “assigned matter” of HMRC, but remain a matter for Welsh Ministers, while leaving scope for HMRC to administer these taxes on behalf of Welsh Ministers if desired.

8. Welsh rate of income tax

This deals with the Welsh rate of income tax, inserting a new Part 4A Chapter 2 into GOWA 2006, consisting of:

9. Income tax for Welsh taxpayers

This amends the Income Tax Act 2007 and the Provisional Collection of Taxes Act 1968 relating to income tax for Welsh taxpayers.

Clauses 10 and 11 allow a referendum to be held in Wales about whether the income tax provisions in clauses 8 and 9 should come into force.

14. Disapplication of UK stamp duty land tax

Clauses 13 and 14 together provide the mechanism for bringing to an end the collection and management of stamp duty land tax in Wales and allowing the Assembly to bring in its own land transaction tax.

15. Welsh tax on disposals to landfill

16. Disapplication of UK landfill tax

Clauses 15 and 16 together provide the mechanism for bringing to an end the collection and management of landfill tax in Wales and allowing the Assembly to bring in its own tax on disposals of waste to landfill.

17. Borrowing by the Welsh Ministers

This amends sections 121 and 122 of GOWA 2006 to revise the circumstances under which the Welsh Ministers may borrow and to set out the main controls and limits on such borrowing.

18. Repeal of existing borrowing powers

This repeals the paragraphs in Schedule 3 to the Welsh Development Agency Act 1975 that relate to borrowing and guarantees.

19. Reports on the implementation and operation of this Part

This sets out the requirements for the Secretary of State and Welsh Ministers to report on the implementation and operation of the new finance powers.

This specifies that an Order made under this Act would be exercisable by statutory instrument.

This is the interpretation clause for the draft Bill.

This empowers HM Treasury, by order, to make such supplementary, incidental, consequential, transitional, transitory or saving provision as appears appropriate in connection with bringing into force the provisions in Part 2 (Finance).

This sets out how the sections of the Bill are to be commenced.

26. Extent and short title

This sets out the territorial extent and short title of the Bill.

Schedule 1 sets out a framework for the conduct of a referendum about bringing the income tax provisions into force.

2. Welsh tax on land transactions: consequential amendments

This contains further amendments relating to the disapplication of stamp duty land tax in Wales, and provides for the supply of information to HMRC about land transactions in Wales.