HC Deb 25 March 1968 vol 761 cc1066-8

Motion made, and Question, That—

  1. (a) for the year 1968–69 and subsequent years of assessment, section 13 of the Finance Act 1957 (relief for persons over 65 1067 with small incomes) shall be amended by substituting—
    1. (i) for the references to £401 and £643 (the income limits for exemption from tax), references to £415 and £665, and
    2. (ii) for the reference to £180 (the excess over those limits beyond which relief by reduction of tax is excluded), a reference to £230;
  2. (b) section 210(1) of the Income Tax Act 1952 (married and single relief) shall for the year 1968–69 and subsequent years of assessment have effect in relation to any claim made by a man who becomes married in the year for which the claim is made, and who has not previously in that year been entitled to the higher relief specified in paragraph (a) thereof (married relief), as if the sum specified for that year in that paragraph were reduced, for each month of that year ending before the date of the marriage ("month" meaning one beginning with the 6th day of a month of the calendar year), by one-twelfth of the amount by which it exceeds the sum specified in paragraph (b) (single relief);
  3. (c) where for the year 1968–69 an individual is assessable to income tax in respect of payments on account of an allowance or allowances under the Family Allowances Act 1965 or the Family Allowances Act (Northern Ireland) 1966, the total deductions from tax to which, apart from this paragraph, the individual (or, if the individual is a wife, assessable in respect of the payments by virtue of an application for separate assessment under section 355 of the Income Tax Act 1952, she and her husband together) would he entitled for the year under sections 210 and 212 to 219 of the said Act of 1952 (certain personal reliefs) shall be reduced, for each allowance if more than one, by an amount equal to tax at the standard rate on £36 or, if the payments in question are payments for a part only of the year, by the following amount or amounts—
    1. (i) so far as the payments consist of or include payments for, or for a period falling within, the first half of the year, by an amount, or the proportionate part of an amount, equal to tax at the standard rate of £15, and
    2. (ii) so far as the payments consist of or include payments for, or for a period falling within, the second half of the year, by an amount, or a proportionate part of an amount, equal to tax at the standard rate on £21;
  4. (d) the allowances referred to in paragraph (c) above shall be treated as including any allowance payable to an individual in the service of the Crown in lieu of an allowance under either of the enactments there specified;
  5. (e) the said paragraph (c) shall not apply in the case of any payments of the individual assessable in respect thereof is entitled in the year—
    1. (i) to a widow's allowance, widowed mother's allowance, retirement pension or child's special allowance under the National Insurance Act 1965 or the 1068 National Insurance Act (Northern Ireland) 1966, or
    2. (ii) to an allowance under section 21 of the National Insurance (Industrial Injuries) Act 1965 or section 21 of the National Insurance (Industrial Injuries) Act (Northern Ireland) 1966 (allowances in respect of children of deceased), or
    3. (iii) to an allowance granted by the Minister of Social Security under a Royal Warrant, Order in Council or order administered by him to widows of members of the armed forces;
    4. (f) the said paragraph (c) shall not affect the construction of any reference in the Income Tax Acts to the deduction allowable under any particular provision of those referred to in that paragraph;
  6. (g) the preceding provisions of this Resolution shall not require any change to be made in the amounts deducted or repaid under section 157 of the Income Tax Act 1952 (pay as you earn) before 27th April 1968.
And it is hereby declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.—[Mr. Roy Jenkins.]

put forthwith pursuant to Standing Order 90(2) (Ways and Means motions), and agreed to.