§ Mr. ShersbyTo ask the Chancellor of the Exchequer what is the percentage of income tax payers in the United Kingdom who receive an income tax return form requiring them to give details of their income subject to tax under schedule E in accordance with PAYE; and if he has any e plans to increase the number of recipients following computerisation of the Inland Revenue.
§ Mr. Norman Lamont[holding answer 2 March 1989]: The Inland Revenue issues returns to all taxpayers who they think might pay too much or too little tax in the absence of a return. Taxpayers whose main source of income is subject to tax under schedule D are sent returns annually. Taxpayers whose man source of income is subject to tax under schedule E in accordance with PAYE are sent returns on a selective basis dependent on the complexity of their tax affairs. In 1988–89 16.3 per cent. of PAYE taxpayers were issued with a return. There are no plans to change the Inland Revenue's practice on the issue of returns as a result of computerisation.