§ Mr. Loughlin
asked the Chancellor of the Exchequer whether he will make a statement about the starting point for the investment income surcharge for 1974–75, in view of the amendment made to the Finance Bill at Report stage.
§ Mr. Joel Barnett
Yes. As introduced, the Finance Bill proposed that for the current tax year 1974–75 investment income surcharge should be charged on the excess of investment income over £1,000 in the normal case and on the excess over £1,500 for individuals aged 65 or over. A Report stage amendment increased those thresholds to £2,000 in all cases.
It is my right hon. Friend's intention to lay proposals before the House to restore the starting point for investment income surcharge for 1974–75 to the levels he originally proposed, namely, £1,000 ordinarily and £1,500 for the elderly. These proposals will be included in the second Finance Bill.