§ Mr. Ralph Howellasked the Chancellor of the Exchequer how much income tax was received during the last year for which information is available from each of the following income groups: Under £2,000, £2,000 to £3,000, £3,000 to £4,000, £4,000 to £5,000, £5,000 to £6,000, £6,000 to £7,000, £7,000 to £8,000, £8,000 to £9,000, £9,000 to £10,000, £10,000 to £11,000, £11,000 to £12,000 and over £12,000.
§ Mr. RidleyFigures are available on the basis of income tax due for the year, not tax received in a year. Provisional extimates for 1982–83, based on projections from the 1979–80 survey of personal incomes, are as follows:
Range of total income (lower limit) Total income tax £ £ million under 2,000 neg 2,000 400 3,000 1,100 4,000 1,500 5,000 2,000 6,000 2,300 7,000 2,600 8,000 2,500 9,000 2,600 10,000 2,300 11,000 2,100 12,000 and over 14,600 TOTAL 34,000 Notes: Amounts have been rounded to the nearest £100 million. neg = less than £50 million.
§ Mr. Ralph Howellasked the Chancellor of the Exchequer if he will update the reply given to the hon. Member for Norfolk, North Official Report, 5 March 1981, c. 173, showing the percentage of income tax paid by taxpayers with earnings less than the average male 13W manual earnings and those with less than half the overall male manual earnings in 1980–81; and what is the estimated percentage for 1981–82.
§ Mr. RidleyFinal figures are not yet available. Provisional extimates for both years, based on projections from the 1979–80 survey of personal incomes and calculated on the same basis as in previous replies are as follows:
Percentage of total income tax paid by taxpayers with incomes below: Average male manual earnings Half average male manual earnings 1980–81 (revised) 24 3 1981–82 24 3½
§ Mr. George Cunninghamasked the Chancellor of the Exchequer if he will estimate the number of taxpayers who pay less and who pay more, in each case, income tax and national insurance contributions less child benefit where applicable as a total sum of money in constant prices and as a proportion of gross earnings than they did in 1978–79; and whether he will estimate the comparable numbers of taxpayers in each case for 1983–84 on the basis of announced policy changes and the conventional assumptions incorporated in the latest forecast required under the Industry Act 1975.
§ Mr. RidleyI regret this information is not available. Data on liability to income tax is obtained each year from a fresh sample of the records then held in tax offices, and hence it is not possible to assess the change in position for individual taxpayers between one year and another.
§ Mr. Ralph Howellasked the Chancellor of the Exchequer what would be the loss of revenue if the tax threshold for a married couple were raised to the national average wage and for a single person to half the national average wage.
§ Mr. RidleyIf the married man's allowance were raised to the level of average male earnings for 1982–83, and the single and wife's earned income allowance to half that level, the revenue lost would be in the region of £20 billion to £25 billion, assuming unchanged levels of income. This cost is, however, hypothetical as such a large increase in the tax threshold would result in far-reaching behavioural changes.
§ Mr. Ralph Howellasked the Chancellor of the Exchequer, pursuant to his reply to the hon. Member for Norfolk North on 2 December, Official Report, c. 265, concerning income tax, what would be the total earnings a husband and wife could earn and pay the same amount of tax as they would pay if the husband earned £150 per week and paid tax of £30.89, and what two single persons could earn to pay the amount in tax of £30.89.
§ Mr. RidleyIn 1982–83, a married couple, with no reliefs other than the allowances mentioned below, will have a joint tax bill of £1,606 (£30.89 per week), if either: (a) their joint income is £9,365 (£180.10 per week) and the wife's earnings are above the maximum value of the wife's earned income allowance of £1,565; or
(b) the wife's earnings do not exceed £1,565 and the remainder of the couple's income is equal to £7,800 (£150 per week).
14WTwo single people will have that same total tax bill, if either (a) their combined income is £8,485 (£63.17 per week) and neither income is below the single person's allowance of £1,565; or
(b) one of the incomes is equal to £6,920 (£133.08 per week) and the other is less than £1,565.