§ Mr. FoulkesTo ask the Chancellor of the Exchequer how many individuals paid income tax in the latest year for which figures are available; and what percentage were liable for the higher rate of tax.
§ Mr. DorrellThe latest estimate of the number of taxpayers in 1993–94 is 24.8 million. Of these, about 7.4 per cent. will be liable at the higher rate.
§ Mr. ChisholmTo ask the Chancellor of the Exchequer how much money would be raised by(a) a top tax rate of 50 per cent. for income over £35,000 and (b) a top tax rate of 50 per cent. for income over £50,000.
§ Mr. DorrellHigher rate income tax is charged on taxable income—that is gross income for tax purposes less those allowances and reliefs which are available at the taxpayers's marginal rate—in excess of the basic rate limit.
At 1994–95 income levels, the yield in a full year from the introduction of a 50 per cent. rate on taxable incomes over £35,000 would be about £2.8 billion and the yield from the introduction of a 50 per cent. rate on taxable incomes over £50,000 would be about £1.9 billion. 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.
§ Mr. MandelsonTo ask the Chancellor of the Exchequer if he will publish a table showing the change in income tax in each year since 1978–79 as against the 1978–79 indexed regime broken down into the top 1 per cent., 5 per cent., 10 per cent. and bottom 70 per cent., 50 per cent. and 30 per cent. and all taxpayers, giving the number of taxpayers in each category.
§ Mr. Dorrell[holding answer November 1993]: Readily available information on the annual reduction in income 336W tax liability for the years 1989–90 to 1993–94, compared with the 1978–79 indexed regime is given in the tables. The 1978–79 regime has been indexed by reference to the statutory formula and allowing for independent taxation from 1990–91 onwards. For 1989–90 married couples are counted as one unit. For the purpose of these calculations the indexed regime of 1978–79 is applied directly to the later income base. In practice, retention of the regime, indexed as appropriate, for the intervening years would have led to changes in the income base.
1989–90 Quantile group of taxpayers under the 1978–79 indexed regime Numbers of taxpayers Reduction in tax (Per cent.) (Thousands) (£ million) Top 1 200 7,100 Top 5 1,100 11,000 Top 10 2,300 13,400 Bottom 70 15,900 6,700 Bottom 50 11,400 3,500 Bottom 30 6,800 1,400 All taxpayers 22,700 25,300
1990–91 Quantile group of taxpayers under the 1978–79 indexed regime Numbers of taxpayers Reduction in tax (Per cent.) (Thousands) (£ million) Top 1 300 8,500 Top 5 1,400 13,000 Top 10 2,800 15,800 Bottom 70 19,600 7,200 Bottom 50 14,000 3,600 Bottom 30 8,400 1,400 All taxpayers 28,000 29,100
1991–92 Quantile group of taxpayers under the 1978–79 indexed regime Numbers of taxpayers Reduction in tax (per cent.) (thousands) (£ million) Top 1 300 9,500 Top 5 1,400 13,900 Top 10 2,800 16,600 Bottom 70 19,300 7,300 Bottom 50 13,800 3,600 Bottom 30 8,300 1,400 All taxpayers 27,600 30,000 337W
1992–93 Quantile group of taxpayers under the 1978–79 indexed regime Numbers of taxpayers Reduction in tax (per cent.) (thousands) (£ million) Top 1 300 9,600 Top 5 1,300 14,000 Top 10 2,700 16,700 Bottom 70 18,800 8,700 Bottom 50 13,400 4,500 Bottom 30 8,000 1,800 All taxpayers 26,800 32,000
1993–94 Quantile group of taxpayers under the 1978–79 indexed regime Numbers of taxpayers Reduction in tax (Per cent.) (Thousands) (£ million) Top 1 300 9,300 Top 5 1,300 13,100 Top 10 2,600 15,600 Bottom 70 18,500 8,700 Bottom 50 13,200 4,500 Bottom 30 7,900 1,700 All taxpayers 26,400 31,000
Registrations Collection 1987 1988 1989 1990 1991 1992 11993 Belfast 3,413 3,952 4,373 4,226 3,607 3,674 3,173 Birmingham 13,973 16,550 18,169 16,297 14,044 13,291 11,670 Dover 6,186 7,795 7,552 7,104 6,575 5,859 5,134 East Anglia 7,874 9,474 9,625 8,475 8,564 8,061 6,735 East Midlands 10,591 12,799 14,354 12,100 10,592 9,429 8,308 Edinburgh 7,423 7,808 8,228 7,873 6,667 6,604 5,375 Glasgow 5,460 5,757 8,297 7,477 6,728 6,188 5,118 Leeds 10,515 12,821 14,124 12,496 11,035 10,256 7,837 Liverpool 9,866 12,246 13,239 12,548 10,724 9,815 7,769 London Central 5,492 5,214 5,346 5,290 4,614 4,772 4,455 London North and West 11,681 13,517 15,901 14,305 11,447 10,956 8,927 London Port 7,851 9,064 10,252 8,187 6,980 6,682 5,355 London South 13,028 14,482 16,573 14,875 12,455 11,699 10,901 Manchester 10,827 12,382 14,013 13,577 12,099 11,259 8,962 Northampton 15,518 18,390 19,060 17,345 13,229 12,087 10,015 North England 6,345 7,854 8,409 7,290 5,942 5,756 4,425 Southampton 12,194 13,807 16,261 12,903 10,744 9,658 8,432 South West and Borders 10,404 13,535 14,624 12,942 10,582 9,629 7,700 South West England 13,376 16,839 16,972 13,803 11,681 10,965 9,300 Thames Valley 16,027 19,230 21,141 20,223 17,639 16,615 13,207 1To September.
Deregistrations Collection 1987 1988 1989 1990 1991 1992 11993 Belfast 2,920 7,498 3,224 3,113 3,783 3,595 2,391 Birmingham 11,580 12,571 12,637 12,519 16,963 17,002 11,419 Dover 4,403 5,784 4,952 5,736 9,765 8,915 5,519 East Anglia 5,814 10,125 9,625 8,475 8,564 8,061 7,339 East Midlands 8,726 11,104 9,753 10,026 13,258 12,235 8,247 Edinburgh 6,108 9,562 6,042 6,065 7,440 6,757 5,158 Glasgow 4,494 5,095 6,279 6,178 8,035 7,033 4,864 Leeds 8,985 10,522 10,041 10,284 13,621 12,383 8,761 Liverpool 8,645 9,837 10,061 10,002 13,207 12,991 8,364 London Central 4,071 4,867 4,232 4,453 4,677 4,839 4,154 London North and West 8,421 8,568 9,938 10,687 13,765 15,070 10,312 London Port 5,722 6,741 6,457 5,913 10,275 10,048 6,909 London South 8,384 9,394 10,515 10,832 15,038 14,613 10,113 Manchester 9,670 9,822 10,248 9,641 13,571 13,387 9,399 Northampton 10,157 15,446 11,777 12,857 16,451 15,143 9,622 North England 5,354 6,283 5,998 6,357 7,686 7,242 5,088 Southampton 8,484 12,220 10,411 9,739 14,476 13,783 9,525 South West and Borders 8,156 14,380 10,296 10,437 14,394 11,902 8,898 South West England 10,525 16,687 11,716 11,751 16,461 15,811 10,320 Thames Valley 11,214 15,057 13,865 14,722 21,431 19,824 13,276 1to September.