HC Deb 19 May 1930 vol 239 cc36-7
82. Mr. A. M. SAMUEL

asked the Financial Secretary to the Treasury the approximate number of persons assessed for Income Tax and Surtax in the year 1929–30 with annual incomes exceeding £5,000, £10,000, and £25,000, respectively?

The FINANCIAL SECRETARY to the TREASURY (Mr. Pethick-Lawrence)

The latest available figures are those for the year 1927–28. These are:

Exceeding £5,000 but not exceeding £10,000 17,916
Exceeding £10,000, but not exceeding £25,000 7,218
Exceeding 225,000 1,829

asked the Financial Secretary to the Treasury if he will state, in respect of a married man of 45 years of age with three children and an unearned income of £40,000 and £50,000 a year, what would be the total charge per £1 of income in respect of Income Tax, Surtax, and a provision to meet Estate Duties based upon an insurance premium sufficient to leave his estate intact at death and assuming an average yield of 5 per cent on his capital?


For an investment income of £40,000 the Income Tax and Surtax amount to £19,888 and the net insurance payment on the Colwyn Committee's hypothesis would be £17,871, the corresponding capital being £800,000. The corresponding figures for an income of £50,000 were given by my right hon. Friend on the 13th May. The Colwyn Committee pointed out, however, that this method of looking at the incidence of the Death Duties is not altogether suitable. The real incidence of the Estate Duty is on the capital on which it is levied and not on the income arising from that capital during lifetime.


Does the hon. Member agree that the figures which he has just read out are approximate to those in the case of the capital levy?


No. I think they are very different.