§ Mr. Kenneth Bakerasked the Chancellor of the Exchequer what will be the effect in 1970–71 of the Budget proposals on the weekly income of a married man with two children under 11 years of age earning £20 a week, net of family allowances; and what is the effect of a cut of 1s. in the standard rate of income tax, assuming that this is not an alternative to the Budget proposals.
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§ Mr. Taverne:An income tax reduction of about 3s. a week; and a further reduction of about 3s. 8d. a week.
§ Mr. Kenneth Bakerasked the Chancellor of the Exchequer what is his estimate of the weekly benefit in 1970–71 from the reduction of 6d. in the standard rate of income tax for a married man with two children under 11 years of age with earnings per week, net of family allowances, of £20, £30, £40, £50, and £100, assuming this reduction not to have been made in place of the Budget proposals.
§ Mr. Taverne:Is. 10d., 5s. 9d., 9s. 8d., 13s. 6d. and £1 14s. 3d., respectively.
§ Mr. Sillarsasked the Chancellor of the Exchequer what is the present income tax liability per week for a widow with one child earning £9 per week; and what will be the weekly liability following the changes proposed in the Budget.
§ Mr. Taverne:This depends on all the circumstances of the particular case. But on the assumption that the widow also receives National Insurance widow's benefit of £7 9s. a week, and that tax child allowance for a child under 11 and the additional personal allowance of £100 are due, the liability is about 22s. 6d. a week at present and will be reduced to about £ 1 a week under the Budget proposals.