§ Mr. Brockwayasked the Secretary of State for the Colonies if he will give particulars of the rates of income tax levied in Kenya, Uganda and Tanganyika, respectively, for 1955–56; to which races the tax is applied; and what is the amount of the Poll Tax levied in each of the territories, respectively, on individual Africans.
§ Mr. ProfumoThe rates of income tax levied on individuals in 1955–56 were the same in all three territories, namely:
On chargeable income Residents of each £ of chargeable income Non-Residents on each £ of chargeable income First £400 1s. 50c. 2s. Next £400 2s. + ⅛c. for each £ in excess of £400 2s. Next £800 3s. + ⅛c. For each £ in excess of £800 as residents Remainder 5s. as residents In this context resident means a resident of Kenya, Uganda, Tanganyika or Zanzibar.
In addition, there is in Kenya a surcharge, on residents, of 75 cents on each £ of chargeable income in excess of £800, the surcharge reaching its maximum at a total income of £8,750. Also in Kenya a personal tax related to income is payable in addition to income tax by non-African residents as follows:
Income not exceeding £60 p.a. … 40s. Income £60–120 p.a. … 80s. Income £120–£200 p.a. … 120s. Income over £200 … 200s. The rates of income tax payable by persons not individuals (this term includes companies) are:
32WIn Kenya and Tanganyika: 5s. in the £ of chargeable income.In Uganda: 5s. in the £ of chargeable income derived from or received in Kenya and Tanganyika and 4s, in the £ for the remainder of chargeable income.Surtax is levied in all three territories on total income in excess of £2,000 as follows:
IN KENYA AND UGANDA: Total income Rate of tax per £ First £1,500 over £2,000. 25c. plus ⅛c. in the £ on the excess over £2,000. Next £6,000 4s. + 1/20 c. for each £ on the excess over £3,500. Next £10,000 10s. Next £30,000 10s. 50c. Remainder 11s.
IN TANGANYIKA: Total income Rate of tax per £ First £1,500 over £2,000. 25c. + ⅛c. in the £ on the excess over £2,000. Next £5,000 4s. + 1/20c. for each £ in excess of £3,500. Remainder 9s. The rates chargeable on residents of Tanganyika with income arising in Kenya, Uganda or Zanzibar are the rates of surtax for those territories.
In Kenya and Tanganyika income tax is levied on all resident persons irrespective of race with the exception of those exempted by virtue of their office ((e.g. foreign consular officers' official salaries).
In Uganda, in addition to the above exemptions, all individuals subject to African Poll Tax are exempt from payment of income tax.
The rates of Poll Tax are as follows: In Kenya the standard rate payable by most Africans living in areas with African District Councils (who also levy their own taxes) is 19s. and in other areas 21s., but lower rates are paid in certain poorer districts, the lowest rate being 6s. in the Turkana District. In urban areas poll tax is charged at 23s. or 25s. according to place of payment.
In Uganda Poll Tax is levied on every able-bodied male African at a fiat rate of 6s. African local government authorities also levy taxes which generally vary between 20s. and 25s. per head.
No Poll Tax is levied in Tanganyika, but Africans are subject to a graduated personal tax payable by able-bodied males of all races; rates vary between 10s. on a chargeable income of £100 per annum to £7 10s. 0d. on a chargeable income of £400.
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§ Mr. Brockwayasked the Secretary of State for the Colonies if the commission appointed to inquire into income tax in East Africa has published its report; and if the report is to be made available to the public.
§ Mr. ProfumoThe Commission is expected to submit its report to East African Governments in the near future. The report will be published in East Africa and will be on sale to the public.