HC Deb 01 June 1998 vol 313 cc87-8W
Mr. Gibb

To ask the Chancellor of the Exchequer, pursuant to his answer of 18 July 1997,Official Report, column 375, if he will provide a breakdown of the number of (a) non-taxpayers aged over 65 years and (b) all non-taxpaying individuals reclaiming tax credits on dividends in (i) 1995–96 and () 1996–97, in the categories (1) under £20, (2) £21 to £50, (3) £51 to £100, (4) £101 to £200 and (5) over £200 reclaimed. [41637]

Mr. Geoffrey Robinson

The latest available estimates derived from the Survey of Personal Incomes cover dividends paid in 1995–96 and are given in the table.

Amount of dividends tax credit claimed (£) Number of non taxpayers aged 65 and over with claims (thousands) Number of non taxpayers with claims (thousands)
under 20 100 240
21–50 60 130
51–100 60 110
101–200 50 90
201 and over 30 60
Total 300 630

Mr. Gibb

To ask the Chancellor of the Exchequer, pursuant to his answer of 18 July 1997,Official Report, column 375, concerning tax credits on dividends, if he will provide figures for 1996–97. [41635]

Mr. Geoffrey Robinson

I regret that the information requested for 1996–97 is not yet available.

Mr. Gibb

To ask the Chancellor of the Exchequer, pursuant to his answer of 18 July 1997,Official Report, column 375, what is the estimated saving to the Exchequer of abolishing the repayment of dividend tax credits in respect of (a) all non-taxpaying individuals and (b) non-taxpaying individuals aged over 65 years. [41638]

Mr. Geoffrey Robinson

It is estimated that abolishing payment of dividend tax credits in respect of all non taxpaying individuals will save the Exchequer about £50 million in a full year. About half of this relates to payments to non taxpaying individuals aged 65 and over. These estimates do not take into account any behavioural effects which might result from abolishing the payment of tax credits.

Mr. Gibb

To ask the Chancellor of the Exchequer how many individuals with no tax liability reclaimed a tax credit on dividends paid in(a) 1995–96 and (b) 1996–97; and what was the average amount re-claimed. [41636]

Mr. Geoffrey Robinson

The latest available information is derived from the 1995–96 Survey of Personal Incomes. It is estimated that some 630,000 non taxpayers made claims, averaging £75, for payment of the tax credit on dividends paid in 1995–96.