§ Mr. HanleyTo ask the Chancellor of the Exchequer (1) by how much revenue from top rate tax has risen in(a) percentage terms and (b) real percentage terms since the top rate was reduced to 40 per cent.;
(2) by how much revenue from top rate tax has changed since the top rate was reduced to 40 per cent.
§ Mr. LilleyLiability to income tax at rates of 40 per cent. and above is estimated to have increased by £3 1 billion between 1987–88 and 1990–91, an increase of 40 per cent. in nominal terms and 15 per cent. in real terms. The estimate is based on a projection of the 1987–88 survey of personal incomes and is provisional. It reflects independent taxation and the allowances and thresholds proposed in the 1990 Budget.
§ Mr. HanleyTo ask the Chancellor of the Exchequer (1) how many taxpayers he estimates would pay more in tax were the top rate to be raised from 40 to 50 per cent.;
(2) how much revenue would be raised were the top rate of tax raised from 40 to 50 per cent.
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§ Mr. LilleyThe revenue yield in a full year at 1990–91 levels for income from an increase in the higher rate of income tax from 40 to 50 per cent. is estimated to be £3 billion; 1.7 million taxpayers would pay more tax. The estimates are based on a projection of the 1987–88 survey of personal incomes and are provisional. They reflect independent taxation and the levels of allowances and thresholds announced in the 1990 Budget, but they exclude the consequential effects on capital gains tax and any behavioural effects.