§ 7. Mr. McKayasked the Chancellor of the Exchequer the total sum of dividend on ordinary shares and the undistributed income after taxation for companies in table 29 of the Blue Book for the years 1946 and 1955; the increase in percentage; the increase in the taxation for these companies in that period; and the increase in income tax for the single man whose average earnings were £310 in 1946, and £570 in 1955, or 84 per cent. increase in earnings.
§ Mr. H. BrookeWith regard to companies the figures asked for in the first parts of the Question are given in the table referred to; the percentage increases between 1946 and 1955 in dividends on ordinary shares, before tax, and in their undistributed income after tax, were 83 and 148 respectively. The increase in tax 552 accruing on undistributed company income was £413 million. The amount of tax paid by a single man on an earned income of £310 at the rates applicable in 1946–47 was £46 6s. 3d., and the tax in similar circumstances on an earned income of £570 at 1955–56 rates was £73 17s. 6d.
§ Mr. McKayIs it not correct that the combined results in increased percentage for share capital dividend and undistributed profits—[Interruption.]—is about 124 per cent.? [Interruption.] Has not the tax on profits been increased from £651 million to £877 million and is that not a 35 per cent. increase in taxation—[Interruption.]
§ Mr. SpeakerOrder. That is enough for one question.
§ Mr. SpeakerThe hon. Member has had a good opportunity. Let us hear what the answer to the first part is, anyhow.
§ Mr. BrookeI put a good deal of work into arriving at the answers to the several questions in the hon. Gentleman's original Question. I am not at all sure that I appreciate the full bearing of his supplementary questions but perhaps he will put them down, and I will get to work again.