§ Mr. KirkwoodTo ask the Chancellor of the Exchequer if he will increase in line with inflation the current level of earned income above which all benefits are taxable.
§ Mr. Lilley[holding answer 29 January 1990]: I cannot anticipate my right hon. Friend's Budget statement.
§ Mr. Archy KirkwoodTo ask the Chancellor of the Exchequer what would be the current level of earned income above which all benefits are taxable if the existing level had risen in line with the retail price index since the time it was fixed at £8,500.
§ Mr. Lilley[holding answer 29 January 1990]: The earnings threshold—also known as the PIID limit—above which employees' benefits are taxed would be £18,100 in 1989–90 if it had risen in line with the retail price index since it was fixed at £8,500 in 1979–80. All directors are liable to tax on their benefits regardless of the level of their earnings.