§ Mr. George Rodgersasked the Secretary for Social Services what administrative savings would be made if the contributions at present collected through the National Insurance Scheme were collected through the income tax system.
§ Mr. MeacherUnder arrangements which came into effect on 6th April, Class 1 and Class 4 national insurance contributions are now collected through the income tax system.
Class 2 and 3 contributions are paid either by direct debit, or, in most cases, by stamping a card. Any administrative savings which might arise in the Department if stamped cards were abolished would have to be offset against additional costs for Inland Revenue, particularly in maintaining records for a number of self-employed and non-employed persons whose earnings do not make them liable to pay income tax.