§ Mr. Ralph Howellasked the Chancellor of the Exchequer if he will list any countries that have higher starting rates for income tax than the 35 per cent. rate in the United Kinugdom and any countries that have a top limit of income tax above the 83 per cent. in the United Kingdom.
§ Mr. Robert Sheldon,pursuant to his reply [Official Report, 13th December 1976; Vol. 922, c. 549–50], gave the following information:
I assume that the hon. Member is referring to rates of tax on earned income. Up-to-date information is not available about every country in the world, but I am not aware of any country with a starting rate higher than 35 per cent. I understand that top marginal rates higher than 83 per cent. apply in the following countries:
Algeria—100 per cent. Egypt—96.6 per cent. Japan—83.7 per cent.* Portugal—84.4 per cent. Tanzania—95 per cent. * Includes normal rate of local income taxes; the top national rate is 67.5 per cent.