Income Tax (Hansard, 13 February 1986)

§ 24. Mr. Kirkwood
asked the Chancellor of the Exchequer whether he has any plans to reduce the tax burden on the low-paid.

§ Mr. Brooke
I cannot anticipate my right hon. Friend's Budget statement.

§ 25. Mr. Sackville
asked the Chancellor of the Exchequer what recent representations he has received about tax thresholds.

§ Mr. Brooke
We have received a wide range of representations on this subject.

§ Mr. Nicholas Winterton
asked the Chancellor of the Exchequer if he will estimate the total number of individuals who would be removed from income tax by the raising of personal income tax thresholds by 10 per cent. above the current rate of inflation; and if he will estimate the total loss in revenue which would accrue to the Exchequer from such a move.

§ Mr. Moore
[pursuant to his reply, 5 February 1986, c. 185]: About one million fewer individuals, including working wives, would pay tax in 1986–87 compared with an indexed income tax regime. The direct revenue cost compared with indexation would be about £2.1 billion in a full year at 1986–87 income levels.

§ Mr. Nicholas Winterton
asked the Chancellor of the Exchequer what has been the total Exchequer revenue derived through income tax payments by self-employed persons in each of the last 15 years for which figures are available; what is this figure as a percentage of total income tax payments in each of those years; and what was the average per capita amount of income tax paid by self-employed persons in each of those years.

§ Mr. Moore
[pursuant to his reply, 11 February 1986, c. 427]: Available estimates are as follows, based on the annual sample surveys of personal incomes. The table relates to single people and married couples whose main source of income (usually the largest source) is from self-employment; and the estimates are of liabilities to tax (including liabilities in respect of other sources of income) rather than payments of tax.
541W

Single people and married couples whose main source of income is from self-employment

Income tax liabilities:

Year Number (thousands) Total (£ billion) Per tax unit (£) As percentage of income tax liabilities of all single people and married couples

1979–80 1,760 2.2 1,250 9.6

1980–81 1,820 2.6 1,430 9.8

1981–82 1,840 3.1 1,690 10.2

1982–83 1,970 3.5 1,790 10.9

1983–84 2,100 ^*4.1 ^*1,940 ^*11.6

^* These figures are not comparable with those for the earlier years since the information for income tax liabilities in 1983–84 has been collected before basic rate relief under MIRAS. Comparable figures are not available, but the figures in the second and third column would be lower than shown and that in the final column little changed.

Single people and married couples whose main source of income is from self-employment
	Income tax liabilities:
Year	Number (thousands)	Total (£ billion)	Per tax unit (£)	As percentage of income tax liabilities of all single people and married couples
1979–80	1,760	2.2	1,250	9.6
1980–81	1,820	2.6	1,430	9.8
1981–82	1,840	3.1	1,690	10.2
1982–83	1,970	3.5	1,790	10.9
1983–84	2,100	^*4.1	^*1,940	^*11.6