Income Tax (Hansard, 3 April 1985)

§ Sir Brandon Rhys Williams
asked the Chancellor of the Exchequer if he will publish the figures tabulating the extra revenue obtained from the higher rate of income tax bands, in each year since 1978–79, at current and constant prices.

§ Mr. Moore
Estimates of the income tax due from the higher rate income tax bands in excess of basic rate liability are as follows. The figures exclude yield from the investment income surcharge.

£ million

at Current Prices at 1978–79 prices^*

1978–79 810 810

1979–80 780 675

1980–81 980 730

1981–82 1,350 900

1982–83 1,420 880

1983–84† 1,440 860

1984–85† 1,675 950

1985–86† 1,880 1,010

^* The column has been expressed in 1978–79 prices using the retail price index.

† Provisional.

§ Mr. Maples
asked the Chancellor of the Exchequer what is the expected total of yield of the higher rates of income tax for 1985–86.

§ Mr. Moore
The yield of income tax at higher rates due in respect of 1985–86 incomes is estimated at £4,730 million (of which £1,880 million is in respect of liability in excess of the basic rate element).

§ Mr. Maples
asked the Chancellor of the Exchequer what is his latest estimate of the expected yield in the 1984–85 tax year from higher rate income tax in respect

Reductions in basic rate necessary to restore tax payments to their 1978–79 levels

1984–85 1985–86

Single Married Married plus 2 children Single Married Married plus 2 children

Percentages of average earnings

(a) in real terms

75 12.1 15.5 12.5 12.7 16.0 12.9

100 10.9 12.9 10.9 11.5 13.5 11.4

150 9.9 11.0 9.7 10.4 11.5 10.2

(b) as a percentage of gross earnings

75 5.1 7.0 6.6 4.7 6.3 6.1

100 4.2 5.2 4.9 3.9 4.7 4.6

150 3.5 4.0 3.8 3.3 3.7 3.5

Notes to Tables
Average earnings are taken to be the average gross weekly earnings of all full time males on adult rates with pay unaffected by absence. Figures for 1984–85 and 1985–86 are illustrative and assume growth of 7½ and 7 per cent. respectively.
2. Income tax payments are calculated on the assumption that households have no other tax relief apart from the standard allowances. Earners are assumed to be contracted-in for NI purposes.
3. Indirect tax payments are estimates based on the 1983 family expenditure survey. Because of sampling variation, there can be substantial differences between the estimates obtained from different years' surveys.

§ Mr. Straw
asked the Chancellor of the Exchequer if he will publish in the Official Report tables showing (a) the proportion in percentage terms, (b) the amount in current prices, and (c) the amount in constant 1984–85 prices of personal income taken by taxation and rates for the year 1985–86, taking account of any changes announced in his
676W
of taxpayers whose highest marginal rate of tax is (a) 40 per cent. (b) 45 per cent., (c) 50 per cent., (d) 55 per cent. and (e) 60 per cent., respectively.

§ Mr. Moore
The yields of income tax, both at higher rates and at the excess of those rates over the basic rate element, due in respect of 1984–85 incomes are estimated as follows:

Tax due

Taxpayer's marginal rate of tax Per cent. at higher rates (£ million) at excess over basic rate (£ million)

40 180 45

45 500 140

50 680 230

55 520 200

60 2,330 1,060

Total 4,210 1,675

Each row of the table is independent and shows the yield of tax at all higher rates from taxpayers with the specified marginal rate.

§ Mr. Rooker
asked the Chancellor of the Exchequer if he will now update his answer to the hon. Member for Birmingham, Perry Barr of 27 March 1984, Official Report, Column 109, by giving information about the reductions in the basic rate of income tax which would be necessary to restore tax payments to their 1978–79 levels in 1985–86.

§ Mr. Moore
[pursuant to his reply, 29 March 1985, c. 369.]: Estimates for 1984–85 and 1985–86 are in the table. The figures for 1984–85 have been revised to include estimates of indirect tax payments based on the most recent family expenditure survey.
Real take home pay for these illustrative households will be over 11 per cent. higher in 1985–86 than it was in 1978–79.
Budget statement and any previously announced changes, and for each of the years, 1978–79, 1979–80, 1980–81, 1981–82, 1982–83, 1983–84 and 1984–85 for each level of average earnings, each category of taxpayer, and each category of taxation and rates, in the manner of the answer of 21 March 1984, Official Report, columns 480–86.
677W

§ Mr. Moore
[pursuant to his reply, 19 March 1985, c. 465]: Figures for all the years requested could be provided only at disproportionate cost. Figures for the years 1983–84 to 1985–86 are in the tables.

50 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 15.35 16.12 18.0 — — — 9.53 10.01 9.8

(b) NIC 7.70 8.09 9.0 7.70 8.09 9.0 7.70 8.09 7.9

(c) (a) plus (b) 23.05 24.21 27.0 7.70 8.09 9.0 17.23 18.09 17.6

1984–85

(a) Income tax 16.00 16.00 17.4 — — — 9.37 9.37 8.9

(b) NIC 8.27 8.27 9.0 8.27 8.27 9.0 8.27 8.27 7.9

(c) (a) plus (b) 24.27 24.27 26.4 8.27 8.27 9.0 17.64 17.64 16.8

1985–86

(a) Income tax 16.79 15.91 17.1 — — — 9.57 9.07 8.5

(b) NIC 8.85 8.39 9.0 7.47 7.08 7.6 8.85 8.39 7.9

(c) (a) plus (b) 25.64 24.30 26.1 7.47 7.08 7.6 18.42 17.46 16.4

75 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 28.18 29.59 22.0 12.05 12.65 9.4 22.35 23.47 15.9

(b) NIC 11.54 12.12 9.0 11.54 12.12 9.0 11.54 12.12 8.2

(c) VAT 5.04 5.29 3.9 5.91 6.21 4.6 4.51 4.74 3.2

(d) Other indirect taxes 10.27 10.79 8.0 15.52 16.30 12.1 11.71 12.30 8.3

(e) (a) plus (b) plus (c) plus (d) 55.03 57.79 42.9 45.02 47.28 35.1 50.11 52.62 35.7

(f) Domestic rates 4.82 5.06 3.8 5.63 5.91 4.4 5.36 5.63 3.8

(g) (e) plus (f) 59.85 62.85 46.7 50.65 53.19 39.5 55.47 58.25 39.5

1984–85

(a) Income tax 29.79 29.79 21.6 11.59 11.59 8.4 23.15 23.15 15.3

(b) NIC 12.41 12.41 9.0 12.41 12.41 9.0 12.41 12.41 8.2

(c) VAT 5.68 5.68 4.1 6.62 6.62 4.8 5.28 5.28 3.5

(d) Other indirect taxes 10.76 10.76 7.8 16.37 16.37 11.9 12.51 12.51 8.3

(e) (a) plus (b) plus (c) plus (d) 58.64 58.64 42.5 46.99 46.99 34.1 53.35 53.35 35.3

(f) Domestic rates 5.68 5.68 4.1 5.77 5.77 4.2 5.50 5.50 3.6

(g) (e) plus (f) 64.32 64.32 46.7 52.76 52.76 38.3 58.85 58.85 38.9

1985–86

(a) Income tax 31.54 29.90 21.4 11.60 11.00 7.9 24.33 23.06 15.1

(b) MIC 13.28 12.59 9.0 11.80 11.18 8.0 13.28 12.59 8.2

(c) VAT 6.07 5.75 4.1 7.24 6.86 4.9 5.62 5.33 3.5

(d) Other indirect taxes 11.49 10.89 7.8 17.65 16.73 12.0 13.27 12.58 8.2

(e) (a) plus (b) plus (c) plus (d) 62.38 59.13 42.3 48.29 45.77 32.7 56.50 53.55 35.0

(f) Domestic rates 5.24 4.97 3.6 6.15 5.83 4.2 5.84 5.54 3.6

(g) (e) plus (f) 67.62 64.09 45.8 54.44 51.60 36.9 62.34 59.09 38.6

100 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 41.00 43.06 24.0 24.88 26.13 14.5 35.18 36.94 19.2

(b) NIC 15.39 16.16 9.0 15.39 16.16 9.0 15.39 16.16 8.4

(c) VAT 7.01 7.36 4.1 7.93 8.33 4.6 6.49 6.82 3.5

(d) Other indirect taxes 12.68 13.32 7.4 17.38 18.25 10.2 14.13 14.84 7.7

(e) (a) plus (b) plus (c) plus (d) 76.08 79.90 44.5 65.58 68.87 38.4 71.19 74.76 38.9

(f) Domestic rates 5.47 5.74 3.2 5.98 6.28 3.5 5.91 6.21 3.2

(g) (e) plus (f) 81.55 85.64 47.7 71.56 75.15 41.8 77.10 80.97 42.1

678W 679W 680W

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1984–85

(a) Income tax 43.57 43.57 23.7 25.37 25.37 13.8 36.94 36.94 18.7

(b) NIC 16.54 16.54 9.0 16.54 16.54 9.0 16.54 16.54 8.4

(c) VAT 7.88 7.88 4.3 9.10 9.10 5–0 7.48 7.48 3.8

(d) Other indirect taxes 13.25 13.25 7.2 18.24 18.24 9–9 14.98 14.98 7.6

(e) (a) plus (b) plus (c) plus (d) 81.24 81.24 44.2 69.25 69.25 37.7 75.94 75.94 38.5

(f) Domestic rates 5.60 5.60 3.0 6.12 6.12 3.3 6.05 6.05 3.1

(g) (e) plus (f) 86.84 86.84 47.2 75.37 75.37 41.0 81.99 81.99 41.6

1985–86

(a) Income tax 46.29 43.88 23.5 26.36 24.99 13.4 39.08 37.04 18.5

(b) NIC 17.70 16.78 9.0 16.91 16.03 8.6 17.70 16.78 8.4

(c) VAT 8.43 7.99 4.3 9.82 9.31 5.0 7.97 7.55 3.8

(d) Other indirect taxes 14.14 13.40 7.2 19.61 18.59 10.0 15.91 15.08 7.6

(e) (a) plus (b) plus (f) plus (d) 86.56 82.05 44.0 72.70 68.91 37.0 80.66 76.45 38.3

(f) Domestic rates 5.95 5.64 3.0 6.52 6.18 3.3 6.42 6.09 3.0

(g) (e) plus (f) 92.51 87.69 47.0 79.22 75.09 40.3 87.08 82.54 41.3

150 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 66.65 69.99 26.0 50.53 53.06 19.7 60.83 63.88 22.6

(b) NIC 21.15 22.21 8.2 23.09 24.25 9.0 21.15 22.21 7.9

(c) VAT 11.08 11.64 4.3 11.99 12.59 4.7 10.59 11.12 3.9

(d) Other indirect taxes 17.68 18.57 6.9 21.07 22.13 8.2 19.15 20.11 7.1

(e) (a) plus (b) plus (c) plus (d) 116.56 122.41 45.4 106.68 112.03 41.6 111.72 117.32 41.6

(f) Domestic rates 6.81 7.15 2.7 6.67 7.00 2.6 7.02 7.37 2.6

(g) (e) plus (f) 123.37 129.56 48.1 113.35 119.03 44.2 118.74 124.69 44.2

1984–85

(a) Income tax 71.14 71.14 25.8 52.94 52.94 19.2 64.51 64.51 22.3

(b) NIC 22.50 22.50 8.2 24.81 24.81 9.0 22.50 22.50 7.8

(c) VAT 12.47 12.47 4.5 14.04 14.04 5.1 12.08 12.08 4.2

(d) Other indirect taxes 18.42 18.42 6.7 21.99 21.99 8.0 20.12 20.12 7.0

(e) (a) plus (b) plus (c) plus (d) 124.53 124.53 45.2 113.78 113.78 41.3 119.21 119.21 41.3

(f) Domestic rates 6.99 6.99 2.5 6.83 6.83 2.5 7.21 7.21 2.5

(g) (e) plus (f) 131.52 131.52 47.7 120.61 120.61 43.7 126.42 126.42 43.8

1985–86

(a) Income tax 75.80 71.85 25.7 55.86 52.95 18.9 68.58 65.00 22.2

(b) NIC 23.85 22.61 8.1 26.55 25.17 9.0 23.85 22.61 7.7

(c) VAT 13.34 12.64 4.5 15.03 14.25 5.1 12.90 12.23 4.2

(d) Other indirect taxes 19.71 18.68 6.7 23.58 22.35 8.0 21.43 20.31 6.9

(e) (a) plus (b) plus (c) plus (d) 132.70 125.78 45.0 121.02 114.71 41.0 126.76 120.15 41.0

(f) Domestic rates 7.42 7.03 2.5 7.26 6.88 2.5 7.64 7.24 2.5

(g) (e) plus (f) 140.12 132.82 47.5 128.28 121.59 43.5 134.40 127.39 43.5

200 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 94.99 99.75 27.8 76.18 80.00 22.3 87.22 91.60 24.6

(b) NIC 21.15 22.21 6.2 30.78 32.32 9.0 21.15 22.21 6.0

(c) (a) plus (b) 116.14 121.96 34.0 106.96 112.32 31.3 108.37 113.80 30.6

1984–85

(a) Income tax 102.00 102.00 27.7 80.51 80.51 21.9 93.16 93.16 24.5

(b) NIC 22.50 22.50 6.1 33.08 33.08 9.0 22.50 22.50 5.9

(c) (a) plus (b) 124.50 124.50 33.9 113.59 113.59 30.9 115.66 115.66 30.4

1985–86

681W 682W

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

(a) Income tax 109.24 103.55 27.8 85.37 80.92 21.7 99.63 94.44 24.5

(b) NIC 23.85 22.61 6.1 35.41 33.56 9.0 23.85 22.61 5.9

(c) (a)plus (b) 133.09 126.15 33.8 120.78 114.48 30.7 123.48 117.04 30.3

500 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices per cent. of gross income £ per week £ per week 1984.85 prices per cent. of gross income £ per week £ per week 1984–85 prices per cent. of gross income

1983–84

(a) Income tax 364.42 382.70 42.6 268.75 282.23 31.4 352.77 370.46 40.7

(b) NIC 21.15 22.21 2.5 42.30 44.42 4.9 21.15 22.21 2.4

(c) (a)plus (b) 385.57 404.91 45.1 311.05 326.65 36.4 373.92 392.67 43.1

1984–85

(a) Income tax 392.88 392.88 42.8 289.09 289.09 31.5 379.61 379.61 40.7

(b) NIC 22.50 22.50 2.4 45.00 45.00 4.9 22.50 22.50 2.4

(c) (a) plus (b) 415.38 415.38 45.2 334.09 334.09 36.4 402.11 402.11 43.1

1985–86

(a) Income tax 421.87 399.88 42.9 310.01 293.85 31.5 407.45 385.21 40.8

(b) NIC 23.85 22.61 2.4 47.70 45.21 4.9 23.85 22.61 2.4

(c) (a)plus (b) 445.72 422.48 45.3 357.71 339.06 36.4 431.30 408.82 43.2

700 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 569.62 598.19 47.6 439.42 461.46 36.7 557.97 585.95 46.1

(b) NIC 21.15 22.21 1.8 42.30 44.42 3.5 21.15 22.21 1.7

(c) (a) plus (b) 590.77 620.40 49.4 481.72 505.88 40.2 579.12 608.16 47.9

1984–85

(a) Income tax 613.44 613.44 47.7 473.37 473.37 36.8 600.17 600.17 46.2

(b) NIC 22.50 22.50 1.7 45.00 45.00 3.5 22.50 22.50 1.7

(c) (a) plus (b) 635.94 635.94 49.4 518.37 518.37 40.3 622.67 622.67 47.9

1985–86

(a) Income tax 657.91 623.61 47.8 508.55 482.04 36.9 643.49 609.94 46.3

(b) NIC 23.85 22.61 1.7 47.70 45.21 3.5 23.85 22.61 1.7

(c) (a) plus (b) 681.75 646.21 49.5 556.25 527.25 40.4 667.34 632.55 48.0

1000 per cent. of average earnings

Single Married both working Married couple with two children

£per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 877.42 921.42 51.3 730.97 767.63 42.7 865.77 909.19 50.3

(b) NIC 21.15 22.21 1.2 42.30 44.42 2.5 21.15 22.21 1.2

(c) (a) plus (b) 897.57 943.63 52.5 773.27 812.05 45.2 886.92 931.40 51.5

1984–85

(a) Income tax 944.28 944.28 51.4 787.56 787.56 42.8 931.01 931.01 50.3

(b) NIC 22.50 22.50 1.2 45.00 45.00 2.4 22.50 22.50 1.2

(c) (a) plus (b) 966.78 966.78 52.6 832.56 832.56 45.3 953.51 953.51 51.5

1985–86

(a) Income tax 1,011.97 959.21 51.4 845.17 801.11 43.0 997.55 945.54 50.4

(b) NIC 23.85 22.61 1.2 47.70 45.21 2.4 23.85 22.61 1.2

(c) (a) plus (b) 1,035.82 981.82 52.7 892.87 846.32 45.4 1,021.40 968.15 51.6

683W

2,000 per cent. of average earnings

Single Married both working Married couple with two children

£ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income £ per week £ per week 1984–85 prices Per cent. of gross income

1983–84

(a) Income tax 1,903.42 1,998.88 55.7 1,754.84 1,842.85 51.3 1,891.77 1,986.64 55.1

(b) NIC 21.15 22.21 0.6 42.30 44.42 1.2 21.15 22.21 0.6

(c) (a) plus (b) 1,924.57 2,021.09 56.3 1,797.14 1,887.27 52.5 1,912.92 2,008.85 55.7

1984–85

(a) Income tax 2,047.08 2,047.08 55.7 1,888.56 1,888.56 51.4 2,033.81 2,033.81 55.1

(b) NIC 22.50 22.50 0.6 45.00 45.00 1.2 22.50 22.50 0.6

(c) (a) plus (b) 2,069.58 2,069.58 56.3 1,933.56 1,933.56 52.6 2,056.31 2,056.31 55.7

1985–86

(a) Income tax 2,192.7 2,077.89 55.7 2,023.94 1,918.43 51.4 2,177.75 2,064.22 55.29

(b) NIC 23.85 22.61 0.6 47.70 45.21 1.2 23.85 22.61 0.6

(c) (a) plus (b) 2,216.02 2,100.49 56.3 2,071.64 1,963.64 52.7 2,201.60 2,086.82 55.8

Notes:
1. Income tax payments are calculated on the assumption that households have no other tax relief apart from the standard allowances. Earners, including earning wives, are assumed to pay class 1 NI contributions at the contracted-in rate. The figures for NI contributions are financial year averages.
2. Average earnings are taken to be the average gross weekly earnings of all full time males on adult rates with pay unaffected by absence Figures for 1984–85 and 1985–86 are illustrative estimates which assume growth of 7½ and 7 per cent. respectively.
3. In order to facilitate comparisons with the other household types, the working couple are assumed to have joint earnings of the various multiples of average male earnings. In calculating income tax and NIC payments it is assumed that the joint earnings are split between husband and wife in the ratio 60:40.
4. For the married couple with two children, the percentage column expresses taxes etc. as percentages of gross earnings plus child benefit. For this purpose, financial year averages are used for child benefit.
5. The figures for indirect taxes are estimates based on the 1983 Family Expenditure Survey. Estimates cannot reliably be made outside the income range for which figures are shown. In practice, there are quite wide variations in spending patterns between households with similar incomes and compositions and because of sampling variation, there can also be substantial differences between the estimates obtained from different years' family expenditure surveys. The category "other indirect taxes" includes the indirect effects of taxes levied on businesses, such as duty on derv and the national insurance surcharge.

	£ million
	at Current Prices	at 1978–79 prices^*
1978–79	810	810
1979–80	780	675
1980–81	980	730
1981–82	1,350	900
1982–83	1,420	880
1983–84†	1,440	860
1984–85†	1,675	950
1985–86†	1,880	1,010
^* The column has been expressed in 1978–79 prices using the retail price index.
† Provisional.

Reductions in basic rate necessary to restore tax payments to their 1978–79 levels
	1984–85	1985–86
	Single	Married	Married plus 2 children	Single	Married	Married plus 2 children
Percentages of average earnings
(a) in real terms
75	12.1	15.5	12.5	12.7	16.0	12.9
100	10.9	12.9	10.9	11.5	13.5	11.4
150	9.9	11.0	9.7	10.4	11.5	10.2
(b) as a percentage of gross earnings
75	5.1	7.0	6.6	4.7	6.3	6.1
100	4.2	5.2	4.9	3.9	4.7	4.6
150	3.5	4.0	3.8	3.3	3.7	3.5

Tax due
Taxpayer's marginal rate of tax Per cent.	at higher rates (£ million)	at excess over basic rate (£ million)
40	180	45
45	500	140
50	680	230
55	520	200
60	2,330	1,060
Total	4,210	1,675

50 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	15.35	16.12	18.0	—	—	—	9.53	10.01	9.8
(b) NIC	7.70	8.09	9.0	7.70	8.09	9.0	7.70	8.09	7.9
(c) (a) plus (b)	23.05	24.21	27.0	7.70	8.09	9.0	17.23	18.09	17.6
1984–85
(a) Income tax	16.00	16.00	17.4	—	—	—	9.37	9.37	8.9
(b) NIC	8.27	8.27	9.0	8.27	8.27	9.0	8.27	8.27	7.9
(c) (a) plus (b)	24.27	24.27	26.4	8.27	8.27	9.0	17.64	17.64	16.8
1985–86
(a) Income tax	16.79	15.91	17.1	—	—	—	9.57	9.07	8.5
(b) NIC	8.85	8.39	9.0	7.47	7.08	7.6	8.85	8.39	7.9
(c) (a) plus (b)	25.64	24.30	26.1	7.47	7.08	7.6	18.42	17.46	16.4

75 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	28.18	29.59	22.0	12.05	12.65	9.4	22.35	23.47	15.9
(b) NIC	11.54	12.12	9.0	11.54	12.12	9.0	11.54	12.12	8.2
(c) VAT	5.04	5.29	3.9	5.91	6.21	4.6	4.51	4.74	3.2
(d) Other indirect taxes	10.27	10.79	8.0	15.52	16.30	12.1	11.71	12.30	8.3
(e) (a) plus (b) plus (c) plus (d)	55.03	57.79	42.9	45.02	47.28	35.1	50.11	52.62	35.7
(f) Domestic rates	4.82	5.06	3.8	5.63	5.91	4.4	5.36	5.63	3.8
(g) (e) plus (f)	59.85	62.85	46.7	50.65	53.19	39.5	55.47	58.25	39.5
1984–85
(a) Income tax	29.79	29.79	21.6	11.59	11.59	8.4	23.15	23.15	15.3
(b) NIC	12.41	12.41	9.0	12.41	12.41	9.0	12.41	12.41	8.2
(c) VAT	5.68	5.68	4.1	6.62	6.62	4.8	5.28	5.28	3.5
(d) Other indirect taxes	10.76	10.76	7.8	16.37	16.37	11.9	12.51	12.51	8.3
(e) (a) plus (b) plus (c) plus (d)	58.64	58.64	42.5	46.99	46.99	34.1	53.35	53.35	35.3
(f) Domestic rates	5.68	5.68	4.1	5.77	5.77	4.2	5.50	5.50	3.6
(g) (e) plus (f)	64.32	64.32	46.7	52.76	52.76	38.3	58.85	58.85	38.9
1985–86
(a) Income tax	31.54	29.90	21.4	11.60	11.00	7.9	24.33	23.06	15.1
(b) MIC	13.28	12.59	9.0	11.80	11.18	8.0	13.28	12.59	8.2
(c) VAT	6.07	5.75	4.1	7.24	6.86	4.9	5.62	5.33	3.5
(d) Other indirect taxes	11.49	10.89	7.8	17.65	16.73	12.0	13.27	12.58	8.2
(e) (a) plus (b) plus (c) plus (d)	62.38	59.13	42.3	48.29	45.77	32.7	56.50	53.55	35.0
(f) Domestic rates	5.24	4.97	3.6	6.15	5.83	4.2	5.84	5.54	3.6
(g) (e) plus (f)	67.62	64.09	45.8	54.44	51.60	36.9	62.34	59.09	38.6

100 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	41.00	43.06	24.0	24.88	26.13	14.5	35.18	36.94	19.2
(b) NIC	15.39	16.16	9.0	15.39	16.16	9.0	15.39	16.16	8.4
(c) VAT	7.01	7.36	4.1	7.93	8.33	4.6	6.49	6.82	3.5
(d) Other indirect taxes	12.68	13.32	7.4	17.38	18.25	10.2	14.13	14.84	7.7
(e) (a) plus (b) plus (c) plus (d)	76.08	79.90	44.5	65.58	68.87	38.4	71.19	74.76	38.9
(f) Domestic rates	5.47	5.74	3.2	5.98	6.28	3.5	5.91	6.21	3.2
(g) (e) plus (f)	81.55	85.64	47.7	71.56	75.15	41.8	77.10	80.97	42.1

150 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	66.65	69.99	26.0	50.53	53.06	19.7	60.83	63.88	22.6
(b) NIC	21.15	22.21	8.2	23.09	24.25	9.0	21.15	22.21	7.9
(c) VAT	11.08	11.64	4.3	11.99	12.59	4.7	10.59	11.12	3.9
(d) Other indirect taxes	17.68	18.57	6.9	21.07	22.13	8.2	19.15	20.11	7.1
(e) (a) plus (b) plus (c) plus (d)	116.56	122.41	45.4	106.68	112.03	41.6	111.72	117.32	41.6
(f) Domestic rates	6.81	7.15	2.7	6.67	7.00	2.6	7.02	7.37	2.6
(g) (e) plus (f)	123.37	129.56	48.1	113.35	119.03	44.2	118.74	124.69	44.2
1984–85
(a) Income tax	71.14	71.14	25.8	52.94	52.94	19.2	64.51	64.51	22.3
(b) NIC	22.50	22.50	8.2	24.81	24.81	9.0	22.50	22.50	7.8
(c) VAT	12.47	12.47	4.5	14.04	14.04	5.1	12.08	12.08	4.2
(d) Other indirect taxes	18.42	18.42	6.7	21.99	21.99	8.0	20.12	20.12	7.0
(e) (a) plus (b) plus (c) plus (d)	124.53	124.53	45.2	113.78	113.78	41.3	119.21	119.21	41.3
(f) Domestic rates	6.99	6.99	2.5	6.83	6.83	2.5	7.21	7.21	2.5
(g) (e) plus (f)	131.52	131.52	47.7	120.61	120.61	43.7	126.42	126.42	43.8
1985–86
(a) Income tax	75.80	71.85	25.7	55.86	52.95	18.9	68.58	65.00	22.2
(b) NIC	23.85	22.61	8.1	26.55	25.17	9.0	23.85	22.61	7.7
(c) VAT	13.34	12.64	4.5	15.03	14.25	5.1	12.90	12.23	4.2
(d) Other indirect taxes	19.71	18.68	6.7	23.58	22.35	8.0	21.43	20.31	6.9
(e) (a) plus (b) plus (c) plus (d)	132.70	125.78	45.0	121.02	114.71	41.0	126.76	120.15	41.0
(f) Domestic rates	7.42	7.03	2.5	7.26	6.88	2.5	7.64	7.24	2.5
(g) (e) plus (f)	140.12	132.82	47.5	128.28	121.59	43.5	134.40	127.39	43.5

200 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	94.99	99.75	27.8	76.18	80.00	22.3	87.22	91.60	24.6
(b) NIC	21.15	22.21	6.2	30.78	32.32	9.0	21.15	22.21	6.0
(c) (a) plus (b)	116.14	121.96	34.0	106.96	112.32	31.3	108.37	113.80	30.6
1984–85
(a) Income tax	102.00	102.00	27.7	80.51	80.51	21.9	93.16	93.16	24.5
(b) NIC	22.50	22.50	6.1	33.08	33.08	9.0	22.50	22.50	5.9
(c) (a) plus (b)	124.50	124.50	33.9	113.59	113.59	30.9	115.66	115.66	30.4
1985–86

500 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	per cent. of gross income	£ per week	£ per week 1984.85 prices	per cent. of gross income	£ per week	£ per week 1984–85 prices	per cent. of gross income
1983–84
(a) Income tax	364.42	382.70	42.6	268.75	282.23	31.4	352.77	370.46	40.7
(b) NIC	21.15	22.21	2.5	42.30	44.42	4.9	21.15	22.21	2.4
(c) (a)plus (b)	385.57	404.91	45.1	311.05	326.65	36.4	373.92	392.67	43.1
1984–85
(a) Income tax	392.88	392.88	42.8	289.09	289.09	31.5	379.61	379.61	40.7
(b) NIC	22.50	22.50	2.4	45.00	45.00	4.9	22.50	22.50	2.4
(c) (a) plus (b)	415.38	415.38	45.2	334.09	334.09	36.4	402.11	402.11	43.1
1985–86
(a) Income tax	421.87	399.88	42.9	310.01	293.85	31.5	407.45	385.21	40.8
(b) NIC	23.85	22.61	2.4	47.70	45.21	4.9	23.85	22.61	2.4
(c) (a)plus (b)	445.72	422.48	45.3	357.71	339.06	36.4	431.30	408.82	43.2

700 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	569.62	598.19	47.6	439.42	461.46	36.7	557.97	585.95	46.1
(b) NIC	21.15	22.21	1.8	42.30	44.42	3.5	21.15	22.21	1.7
(c) (a) plus (b)	590.77	620.40	49.4	481.72	505.88	40.2	579.12	608.16	47.9
1984–85
(a) Income tax	613.44	613.44	47.7	473.37	473.37	36.8	600.17	600.17	46.2
(b) NIC	22.50	22.50	1.7	45.00	45.00	3.5	22.50	22.50	1.7
(c) (a) plus (b)	635.94	635.94	49.4	518.37	518.37	40.3	622.67	622.67	47.9
1985–86
(a) Income tax	657.91	623.61	47.8	508.55	482.04	36.9	643.49	609.94	46.3
(b) NIC	23.85	22.61	1.7	47.70	45.21	3.5	23.85	22.61	1.7
(c) (a) plus (b)	681.75	646.21	49.5	556.25	527.25	40.4	667.34	632.55	48.0

1000 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	877.42	921.42	51.3	730.97	767.63	42.7	865.77	909.19	50.3
(b) NIC	21.15	22.21	1.2	42.30	44.42	2.5	21.15	22.21	1.2
(c) (a) plus (b)	897.57	943.63	52.5	773.27	812.05	45.2	886.92	931.40	51.5
1984–85
(a) Income tax	944.28	944.28	51.4	787.56	787.56	42.8	931.01	931.01	50.3
(b) NIC	22.50	22.50	1.2	45.00	45.00	2.4	22.50	22.50	1.2
(c) (a) plus (b)	966.78	966.78	52.6	832.56	832.56	45.3	953.51	953.51	51.5
1985–86
(a) Income tax	1,011.97	959.21	51.4	845.17	801.11	43.0	997.55	945.54	50.4
(b) NIC	23.85	22.61	1.2	47.70	45.21	2.4	23.85	22.61	1.2
(c) (a) plus (b)	1,035.82	981.82	52.7	892.87	846.32	45.4	1,021.40	968.15	51.6

2,000 per cent. of average earnings
	Single	Married both working	Married couple with two children
	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income	£ per week	£ per week 1984–85 prices	Per cent. of gross income
1983–84
(a) Income tax	1,903.42	1,998.88	55.7	1,754.84	1,842.85	51.3	1,891.77	1,986.64	55.1
(b) NIC	21.15	22.21	0.6	42.30	44.42	1.2	21.15	22.21	0.6
(c) (a) plus (b)	1,924.57	2,021.09	56.3	1,797.14	1,887.27	52.5	1,912.92	2,008.85	55.7
1984–85
(a) Income tax	2,047.08	2,047.08	55.7	1,888.56	1,888.56	51.4	2,033.81	2,033.81	55.1
(b) NIC	22.50	22.50	0.6	45.00	45.00	1.2	22.50	22.50	0.6
(c) (a) plus (b)	2,069.58	2,069.58	56.3	1,933.56	1,933.56	52.6	2,056.31	2,056.31	55.7
1985–86
(a) Income tax	2,192.7	2,077.89	55.7	2,023.94	1,918.43	51.4	2,177.75	2,064.22	55.29
(b) NIC	23.85	22.61	0.6	47.70	45.21	1.2	23.85	22.61	0.6
(c) (a) plus (b)	2,216.02	2,100.49	56.3	2,071.64	1,963.64	52.7	2,201.60	2,086.82	55.8