HC Deb 14 January 2003 vol 397 c513W
Matthew Taylor

To ask the Chancellor of the Exchequer (1) if he will estimate the additional yield of an income tax rate of 50 per cent. on taxable incomes exceeding(a) £100,000 per annum, (b) £125,000 per annum, (c) £150,000 per annum and (d) £200,000 per annum; and if he will make a statement; [90173]

(2) if he will estimate the additional yield from levying a 45 per cent. rate of income tax on (a) taxable and (b) gross incomes exceeding £100,000 per annum; and if he will make a statement. [90176]

Dawn Primarolo

The additional yield of making the changes is set out in the table.

Income tax yield in 2003–04
£ billion
(a) 50 per cent. rate for taxable incomes over £100,000 4.9
(b) 50 per cent. rate for taxable incomes over £125,000 4.2
(c) 50 per cent. rate for taxable incomes over £150,000 3.7
(d) 50 per cent. rate for taxable incomes over £200,000 3.0
(a) 45 per cent. rate for taxable incomes over £100,000 2.6
(b) 45 per cent. rate for gross incomes over £100,000 2.7

The estimates are based on the Survey of Personal Incomes and are consistent with the November 2002 pre-Budget report. These estimates exclude any behavioural response to the tax change.