§ Mr. Lawsonasked the Chancellor of the Exchequer what would be the cost in a full year, over and above the proposals announced in the Budget Statement, of extending the basic rate band to the first £8,000 of taxable income, and charging the next £2,000 at 40 per cent. the next £3,000 at 50 per cent., the next £4,000 at 60 per cent., the next £6,000 at 70 per cent., and the remainder at 75 per cent.
§ Mr. Robert SheldonI shall let the hon. Member have a reply as soon as possible.
§ Mr. Rookerasked the Chancellor of the Exchequer if he will publish in tabular form his estimates of the number of people taken out of income tax by Budget changes in each of past four years and the total number of people who paid income tax in each of the same years.
§ Mr. Robert Sheldon, pursuant to his reply [Official Report, 24th April 1978], gave the following information:
The estimates of the number of people liable to tax in each year, together with the number not liable to tax, who would have been liable on the allowances of the preceding year are as follows:
§ Mr. Robert Sheldon, pursuant to his reply [Official Report, 24th April 1978], gave the following information:
Of the estimated 360,000 people who would have been liable to tax in 1978–79 535W on the allowances of 1977–78, but who are not liable under the Budget proposals, about 120,000 are earning wives and 240,000 other taxpayers.
§ Mr. Rookerasked the Chancellor of the Exchequer if he will publish the cost of the main tax reliefs in the field of personal taxation using date from his Budget Statement and indicating the amount of each cost due to relief at the higher rates.
§ Mr. Robert Sheldon, pursuant to his reply [Official Report, 24th April 1978], gave the following information:
After allowing for the changes proposed in the Budget Statement the estimated cost of the main personal tax reliefs is as follows for 1978–79:
Allowance Total Cost £ million At higher rate Single person 3,250 85 Married person 6,700 210 Single person: age allowance 100 Nil Married person: age allowance 130 Nil Wife's earned income 1,800 35 Child allowance 515 20 These figures are the estimates of withdrawing the allowances singly. They should not, therefore, be added together.
§ Mr. Lawsonasked the Chancellor of the Exchequer if he will estimate the revenue cost of cutting the basic rate of income tax from 34 per cent. to 33 per cent., leaving the proposed reduced rate band unaltered.
§ Mr. Robert Sheldon, pursuant to his reply [Official Report, 21st April 1978; Vol. 948, c. 386], gave the following information:
The estimated cost after allowing for the proposals in the Budget Statement would be about £370 million at 1978–79 income levels.