Retirement Pensions (Income Tax)

HC Deb 18 July 1967 vol 750 c1707

40. Mr. Farr

asked the Chancellor of the Exchequer if he will take steps to exempt the forthcoming increases in the retirement age pension from Income Tax.

Mr. MacDermot

No, Sir.

Mr. Farr

Would the hon. and learned Gentleman agree that it is very unfair that these small pension increases, which really replace the purchasing power of pensions eroded by the inflation, should have the little value which can be placed upon them further cut away by Income Tax?

Mr. MacDermot

These pensions are taxable in the same way as pensions generally. The general principle is to levy Income Tax from all sources. This matter has been considered under all Governments, and no reason has been seen for departing from that principle.