§ Mr. Nigel Griffiths
To ask the Chancellor of the Exchequer whether, in the manner of the answer given on 1 July 1986,Official Report, column 509, he will publish a table showing his estimate for the current financial year of the numbers of people who will be liable to pay income tax, higher rate tax and employee's contributions to 65W national insurance, divided into the main categories on the basis of the combined rates of deduction from income for which they will be liable.
§ Mr. Norman Lamont
[holding answer 15 February 1988]: The table gives estimates of employees liable to income tax and national insurance contributions (NIC) in 1987–88 by the combined marginal rate of tax and NIC. Cases where the main source of income derives from self-employment have been excluded. Estimates are derived
Employees liable to income tax and NIC by marginal rate Combined Tax and NIC Marginal rate No. of employees 1Taxable Income Earnings of individual per cent. Thousands £ per annum £ per annum 5 600 0 39–65 7 100 0 65–100 9 100 0 100–295 27 600 1–17,900 Under 39 32 1,400 1–17,900 39–65 34 2,400 1–17,900 65–100 36 12,100 1–17,900 100–295 227 1,100 1–17,900 above 295 340 400 17,901–20,400 all ranges 345 300 20,401–25,400 all ranges 350 100 25,401–33,300 all ranges 355 100 33,301–41,200 all ranges 360 100 above 41,200 all ranges All 19,400 — — 1 For married couples taxable income is the combined income of the husband and wife except where there is a wife's earnings election, when the wife's earnings are treated separately as her taxable income. 2 Above the upper earnings limit (£295 per week) for National Insurance contributions, the marginal rate of NIC is zero. 3 For higher rate taxpayers the marginal rate of NIC is zero, except for a few cases where the wife's earnings are below the upper limit or much of the income comes from investments.