HC Deb 01 February 1971 vol 810 c262W
Mr. Sillars

asked the Chancellor of the Exchequer what percentage rate would be required for a tax on personal wealth over £50,000 to reach a target Exchequer receipt of £350 million from such a source.

Mr. Patrick Jenkin

About 3 per cent.

Mr. Sillars

asked the Chancellor of the Exchequer what is his estimate of the income to the Exchequer of a wealth tax at a rate of 5 per cent. per annum, on the assumption that personal wealth up to £20,000, £40,000, and £100,000, respectively, would be exempted from such a tax.

Mr. Patrick Jenkin

On the assumption that the charge was confined to the slice above the suggested limits the estimated yield for a full year is as follows:

Exemption limit Yield of 5% Wealth Tax
£m
£20,000 1,000
£40,000 700
£100,000 350

Mr. Sillars

asked the Chancellor of the Exchequer what is his estimate of the income to the Exchequer of a wealth tax at a rate of 1 per cent., and 2 per cent., respectively, per annum, on the assumption that personal wealth up to £50,000 would be exempted from such a tax.

Mr. Patrick Jenkin

£120 million and £240 million per annum respectively on the assumption that the charge was confined to the slice above £50,000.

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