HC Deb 23 March 1987 vol 113 cc35-6W
Mr. Austin Mitchell

asked the Chancellor of the Exchequer whether he will publish in the Official Report a table showing for 1957, 1964, 1973, 1979 and each of the past three years his estimate of the amount of mainstream corporation tax paid by companies as a percentage of their total income; and if he will provide a similar percentage for the amount of tax paid or payable at the standard rate by the company or the recipient on the amount distributed by way of interest and dividends.

Mr. Norman Lamont

The present imputation system of corporation tax was introduced with effect from April 1973; a consistent series for mainstream corporation tax is therefore available only after 1973. The required figures, excluding public corporations, are:

Mainstream Corporation Tax Tax on dividends and annual payments1
Financial year Amount

£ billion

Percentage of income2

Per cent.

Amount

£ billion

Percentage of income2

Per cent.

1979 2.8 7.1 2.1 5.3
1983 3.8 7.0 2.4 4.4
1984 5.0 7.5 3.4 5.1
1985 6.7 9.0 4.3 5.7

1 Advance corporation tax on dividends and tax on companies annual payments.

2 Total company income in the calendar year as defined in the national accounts, net of interest payments.

Estimates of 1986 company incomes will be available later this year.

Mr. Austin Mitchell

asked the Chancellor of the Exchequer whether he will publish in the Official Report a forecast of gross income for tax purposes in the current financial year of (i) financial companies and institutions, (ii) companies engaged in the extradition of oil and gas and (iii) other industrial and commercial companies; and if he will include figures for each category of tax.

Mr. Norman Lamont

I regret that this information is not yet available.

Mr. Austin Mitchell

asked the Chancellor of the Exchequer whether he will publish in the Official Report a table showing the amount of mainsteam corporation tax collected on the profits of industrial and commercial companies, excluding the extraction of oil and gas, as a percentage of its gross income for tax purposes in 1957, 1967, 1977 and in each of the past three years, together with the amount of taxes collected or payable; and if he will provide similar figures for tax on the amount distributed.

Mr. Norman Lamont

The present imputation system of corporation tax was introduced with effect from April 1973; a consistent series for mainstream corporation tax is therefore available only after 1973. I regret that it is not possible to identify the contribution of extraction of oil and gas to total company income and to dividend payments. The required figures for all industrial and commercial companies, excluding public corporations, are:

Mainstream Corporation Tax Advance Corporation Tax on dividends
Financial year Amount £ billion Percentage of income1Per cent. Amount £ billion Percentage of income1Per cent.
1977 1.7 7.4 1.0 4.6
1983 3.3 7.0 1.7 3.6
1984 4.4 7.4 2.7 4.6
1985 5.7 8.9 3.3 5.1
1 Total company income in the calendar year as defined in the national accounts, net of interest payments.

Estimates of 1986 incomes of industrial and commercial companies will be available shortly.