§ Mr. BradleyTo ask the Chancellor of the Exchequer what estimate can be made of the number of people who would have an income tax liability from April 1995 whose sole income was incapacity benefit; and what would be the yield in a full year of taxing incapacity benefit.
§ Mr. DorrellOnly a very small number of people whose sole income was incapacity benefit would have any income tax liability in 1995–96 on the basis of the announced rules for the taxation of incapacity benefit for 1995–96 and the changes to income tax allowances announced for that year, assuming indexation of benefits and the personal allowance. The revenue yield in respect of these people would be negligible.