Mr. Jim Callaghanasked the Chancellor of the Exchequer what were the average weekly earnings for an adult male manual worker for 1979, 1980, 1981 and 1982; how much tax was payable on each such level of earnings by a married man with two children under 11 years of age; and what was the residual net income and the real purchasing power of the residual net income.
§ Mr. RidleyInformation is in the following table, which assumes that the taxpayer has no income tax allowances or reliefs other than his personal allowance and that his wife is not working. Child benefit has been included at the average level for the financial year.
proportion of income earning and other assets held overseas by persons normally resident or domiciled in the United Kingdom; whether the increase in revenue is consistent with the known outflow of capital from the United Kingdom over this period; and if he will include in the Official Report details of the number of inquiries which were initiated by the Inland Revenue in each of the past three years under the double taxation agreements referred to in the reply of 2 December 1981 to the hon. Member for Grimsby, Official Report, c. 130.
§ Mr. RidleyIncome tax payable on income from overseas charged to tax under cases IV and V of schedule D for the two years ended 5 April 1981 was £31 million and £.38.8 million, respectively. In general, the amounts assessed would have been based on the income declared for the two years ended 5 April 1980.
165WIncome tax payable on foreign and public revenue dividends paid by or through United Kingdom paying and collecting agents in the four years ended 5 April 1982 amounted to £84 million, £85.9 million, £108 million and £140.3 million, respectively. The amounts assessed would have been based on the amounts arising in the years in question. These figures include tax paid by corporate, as well as individual, investors and it is not possible to report the amounts which relate to each category. Information is not available on the amount of capital gains tax or capital transfer tax attributable to gains or transfers of overseas assets.
As these figures are incomplete, it is not possible to answer the second part of the hon. Member's question. No precise record of the number of requests for information by the Inland Revenue under our network of double taxation agreements is maintained, but it is estimated that in the three years ended 5 April 1982 they totalled about 375, 450 and 600, respectively.