§ Mr. Malcolm BruceTo ask the Chancellor of the Exchequer what is his estimate of the cost of in 1997–98 of abolishing capital gains tax; if he will estimate the number of individuals who would be better 73W off in 1997–98 as a consequence of such a policy; if he will estimate the average annual monetary gain to each individual; and if he will make a statement on the plans he has to ensure that the abolition of capital gains tax does not open up a tax loophole resulting in the loss of income tax revenues. [3247]
§ Mr. Jack[holding answer 11 November 1996]It is provisionally estimated that 105,000 taxpayers will have an aggregate capital gains tax liability of £1.3 billion for 1997–98. The average tax liability is around £12,400. These figures exclude gains made by companies which are charged to corporation tax.
It is not appropriate to comment further on possible changes to the tax system in the run-up to the Budget.