HC Deb 10 March 1992 vol 205 cc433-4W
Mr. Battle

To ask the Chancellor of the Exchequer what would be the effect on tax revenues(a) in the first year and (b) in a full year, assuming this is introduced in 1992–93 of the introduction of a 50 per cent. top rate of income tax on annual taxable incomes of (i) £31,555, (ii) £33,555, (iii) £36,555, (iv) £39,555 and (v) £42,555, in Great Britain and Northern Ireland.

Mr. Maude

[holding answer 9 March 1992]: The information is in the table.

Estimated yield in 1992–93 from a 50 per cent. tax rate
Threshold of taxable income at which 50 per cent. rate is charged £ Yield in a full year1 at 1992–93 levels of income (£ million)
31,555 2,550
33,555 2,370
36,555 2,140
39,555 1,950
42,555 1,790
1 About half of the yield would be collected in the first year.

These estimates do not allow for any behavioural effect that might result from such changes to the tax system and do not include capital gains tax.