§ Mr. Rookerasked the Secretary of State for Social Services what the evidence is for his statement, Official Report, 12 March, c. 1018, that 500,000 people have been brought into income tax due to failure to raise tax allowances.
§ Mr. Patrick JenkinI am advised by the Inland Revenue that this is the best estimate that can be provided of the additional number of taxpayers in 1981–82 compared with 1980–81, resulting from the decision to hold income tax allowances for 1981–82 at their 1980–81 level. As my hon. and learned Friend the Minister of State, Treasury, informed the hon. Member on 20 March—[Vol. 1, c.197]—it is estimated that 1¼ million more people will pay tax in 1981–82 than would have been the case in that year if personal allowances had been fully indexed.