§ Mr. Fieldasked the Chancellor of the Exchequer if he will list the net income gains for taxpayers earning £2,000, £4,000, £6,000, £8,000, £10,000, £15,000, £20,000, £25,000 and £30,000 a year accruing from a reduction in the top rates of income tax to 60 per cent. and consequential changes; and if he will list the gross salary and wage increases which would be necessary to give rise to the same increase in net incomes.
§ Mr. Peter ReesReducing the top rate of income tax to 60 per cent. with no other changes in the rates and allowances does not affect the tax on the incomes listed up to and including £15,000.
On the other three income levels the figures for married men are as follows: 146W
Income Increase in net income by reducing top rate to 60 per cent. Increase in gross income required to produce the increase in net income £ £ £20,000 332 1,295 £25,000 1,074 5,999 £30,000 2,170 12,763 The figures are based on the married person's allowance set in the Finance Act 1979, and on 1978–79 tax rates and higher rate thresholds. The second column is calculated by substituting 60 per cent. for each rate over 60 per cent., but the final column retains these higher rates.