§ Mrs. Kellett-Bowmanasked the Chancellor of the Exchequer (1) how much tax a married man with (a) one child, (b) two children and (c) three children would pay at current tax rates if he were earning a weekly sum of £20, £25, £30, £35, £40, £45, £50, £55 and £60, respectively;
(2) how much tax a married man with (a) one child, (b) two children and (c) three children would pay if tax were 30p in the £ on weekly earnings of £20, £25, 299W £30, £35, £40, £45, £50, £55 and £60, respectively.
Weekly Tax (£p) 1974–75 tax rates Tax at 30 per cent. Weekly earnings One child Two children Three children One child Two children Three children £20 … … … — — — — — — £25 … … … 1.24 0.34 — 1.12 0.31 — £30 … … … 2.89 1.99 1.13 2.62 1.81 1.03 £35 … … … 4.54 3.64 2.78 4.12 3.31 2.53 £40 … … … 6.19 5.29 4.43 5.62 4.81 4.03 £45 … … … 7.84 6.94 6.08 7.12 6.31 5.53 £50 … … … 9.49 8.59 7.73 8.62 7.81 7.03 £55 … … … 11.14 10.24 9.38 10.12 9.31 8.53 £60 … … … 12.79 11.89 11.03 11.62 10.81 10.03 Where appropriate it has been assumed that the individual receives family allowances in addition to the earnings specified.
§ Mrs. Kellett-Bowmanasked the Chancellor of the Exchequer how much tax a married man with (a) one child, (b) two children and (c) three children would pay on weekly earnings of £20, £25, £30, £35, £40, £45, £50, £55 and £60, respectively, if a tax credit system were in operation, if tax were 30p in the £, and the husband received £4 tax credit for himself but no credit for his wife.
§ Dr. GilbertAssuming that child credits were paid to the mother the figures of tax payable by the man are as follows, and are unaffected by the number of children:
Weekly Earnings Weekly Tax £ (£p) 20 2.00 25 3.50 30 5.00
300W
Wife's annual earnings £595 £500 £2,000 Husband's weekly earnings Total tax Effective rate Total tax Effective rate Total tax Effective rate £p Per cent. £ Per cent. £ Per cent. (a) One child £20 … … -29.50 -1.8 -58 -3.8 392 12.9 £25 … … 48.50 2.6 20 1.1 470 14.2 £30 … … 126.50 5.9 98 4.8 548 15.4 £35 … … 204.50 8.5 176 7.6 626 16.4 £40 … … 282.50 10.6 254 9.8 704 17.3 £45 … … 360.50 12.3 332 11.7 782 18.0 £50 … … 438.50 13.7 410 13.2 860 18.7 £55 … … 516.50 14.9 488 14.5 938 19.3 £60 … … 594.50 16.0 566 15.6 1,016 19.8 (b) Two children £20 … … -133.50 -8.2 -162 -10.5 288 9.5 £25 … … -55.50 -2.9 -84 -4.7 366 11.1 £30 … … 22.50 1.0 -6 0.3 444 12.5 £35 … … 100.50 4.2 72 3.1 522 13.7 £40 … … 178.50 6.7 150 5.8 600 14.7 £45 … … 256.50 8.7 228 8.0 678 15.6 £50 … … 334.50 10.5 306 9.9 756 16.4 £55 … … 412.50 11.9 384 11.4 834 17.2 £60 … … 490.50 13.2 462 12.8 912 17.8
§ Dr. GilbertAssuming that the children are under 11 the figures are:
35 6.50 40 8.00 45 9.50 50 11.00 55 12.50 60 14.00
§ Mrs. Kellett-Bowmanasked the Chancellor of the Exchequer, in the case of a married man with (a) one child, (b) two children and (c) three children earning, respectively, £20, £25, £30, £35, £40, £45, £50, £55 and £60 per week, what would be the combined rate of tax if a tax credit system were in operation, tax were 30p in the £, the husband received £4 tax credit and his working wife received £4 tax credit and earned (a) £595 per annum, (b) £500 per annum and (c) £2,000 per annum.
§ Dr. GilbertAssuming that the child credit is £2 the figures are:
301W
(c) Three children £20 … … -237.50 -14.5 -266 -17.3 184 6.1 £25 … … -159.50 -8.4 -188 -10.4 262 7.9 £30 … … -81.50 -3.8 -110 -5.3 340 9.6 £35 … … -3.50 -0.1 -32 -1.4 418 10.9 £40 … … 74.50 2.8 46 1.8 496 12.2 £45 … … 152.50 5.2 124 4.4 574 13.2 £50 … … 230.50 7.2 202 6.5 652 14.2 £55 … … 308.50 8.9 280 8.3 730 15.0 £60 … … 386.50 10.4 358 9.9 808 15.8 A negative figure indicates a payment to the taxpayer.