HC Deb 12 November 1975 vol 899 cc796-7W
Mr. George Rodgers

asked the Chancellor of the Exchequer if, in view of the fact that the standard war widow's pension has risen above the level of the single person's tax allowance, he will take suitable action to remedy this situation.

Mr. Robert Sheldon

As a result of the substantial increases in war widows' pensions which the Government have already introduced, together with the further increase to be paid this month, income tax may become payable by a war widow whose income consists only of a standard war widows' pension. This is an indication of the much-needed improvement in living standards which the Government have secured for this section of the community. I recognise, however, that the payment of tax for the first time on these pensions, from which tax is not deductible under PAYE, might give rise to hardship for those who have not made provision for it and who would be faced with meeting the full annual liability to tax over the remaining weeks of the current income tax year. The Inland Revenue, with my agreement, will therefore refrain from raising assessments for the current year on war widows in this position whose only income is from a State Pension or pensions.