HC Deb 09 April 1974 vol 872 cc133-5W
Mr. Peter Rees

asked the Chancellor of the Exchequer how the average rate

Average rate of tax (per cent.)
Earned income (£ p.a.) United Kingdom Belgium Denmark France Germany Ireland Italy Luxembourg Netherlands U.S.A.
1,000 … Nil Nil 4.5(10.0) Nil Nil Nil 1.0 Nil Nil Nil
2,000 … 12.2 7.9 (1.5) 8.4 (18.5) 0.1 5.1 12.5 6.1 2.5 3.4 1.1 (1.1)
3,000 … 19.0 11.3 (12.0) 13.2 (26.5) 2.9 8.8 20.8 9.0 6.0 8.4 5.7 (5.7)
4,000 … 22.5 14.2 (15.1) 18.0 (32.8) 5.0 10.9 24.3 11.5 8.6 13.1 8.5 (9.0)
5,000 … 24.5 18.1 (19.2) 21.6 (37.5) 6.9 12.9 26.5 13.7 11.0 17.0 10.1 (11.0)

Notes:

  1. 1. Figures in brackets include local tax surcharge for Belgium, Copenhagen income tax for Denmark and California income tax for U.S.A.
  2. 2. Stability surcharge expiring 30th June 1974 is not included in the figures for Germany.
  3. 3. Deductible compulsory social security contributions, minimum expenses allowances, earned income reliefs, etc., as well as personal tax reliefs and allowances have been taken into account.
  4. 4. For the United Kingdom family allowance of £46.80 per annum has been taken into account in calculating tax.

qualifications the information is as follows:

of tax in the United Kingdom compares with the average rate of tax in each of the other eight member countries of the EEC and in the United States of America in the case of a married man with two children aged under 11 years of age earning, respectively, £1,000, £2,000, £3,000, £4,000, and £5,000 per annum.

Dr. Gilbert

There are many qualifications to be taken into account in comparing rates of tax in other countries but subject to these the figures are as follows: