§ Mr. David NicholsonTo ask the Chancellor of the Exchequer what percentage of income tax revenue was paid by the lowest(a) 5 per cent., (b) 10 per cent., (c) 20 per cent. and (d) 30 per cent. of earners in each year from 1978–79 inclusive; and what are his future projections.
§ Sir George YoungThe information requested is given in the table. The bottom 5 per cent. of income tax payers have accounted for less than one half of 1 per cent. of the total income tax liabilities for each year since 1978–79. Estimates for 1993–94 onwards are based on projections from the 1992–93 survey of personal incomes.
Shares of total tax liability1 Groups of taxpayers (percentage) Bottom 30 per cent. Bottom 20 per cent. Bottom 10 per cent 1978–79 7 3 1 1979–80 7 3 1 1980–81 6 3 1 1981–82 7 3 1 1982–83 7 3 1 1983–84 6 3 1 1984–85 6 3 1 1985–86 7 3 1 1986–87 6 3 1 1987–88 6 3 1 1988–89 6 3 1 1989–90 6 3 1 1990–91 5 2 1 1991–92 5 2 1 1992–93 4 2 3— 1993–942 4 2 3— 1994–952 4 2 3— 1995–962 4 2 3— 1 For years up to and including 1989–90, married couples are counted as one taxpayer and their incomes are combined. Following the introduction of independent taxation in 1990–91, husbands and wives are counted separately. 2 Provisional. 3 Less than 0.5 per cent.