asked the Minister for Finance the variations in the yield of income tax and surtax in the form of a reply of 6th April 1960 for each of the years 1960/61 and 1961/62 on the basis that it is (a) the first year in which such alteration was made, (b) the second year and (c) a year in which the full effect of the alteration was felt.
Written Answers. - Income Tax and Surtax Yields.
Following is the information:
Year |
Estimate of increase or decrease in yield if rates in force in the year* had been varied by 10 per cent. either way |
|||
(a) Income Tax |
(b) Sur-tax |
|||
First year |
Full year |
First year |
Full year |
|
£000's |
£000's |
£000's |
£000's |
|
1960-61 |
1,800 |
2,500 |
80 |
175 |
1961-62 |
2,400 |
3,000 |
85 |
190 |
* Sur-tax assessed for 1961-62 is payable on 1st January 1963, and does not, therefore, affect the yield for 1961-62, It is presumed that in this case the reference to an increase or reduction in the rates charged in that year is to be taken as a reference to the rates charged in respect of the previous year, i.e., 1960-61, the Sur-tax for which is payable on ths 1st January, 1962 (i.e., 1961-62). The other year is dealt with similarly.
NOTE.—Income Tax and Sur-tax receipts for any year consist of tax payments made in that year in respect of tax due for various years. For example, the Income Tax receipt for 1961-62 consists of Income Tax paid in respect of (a) the year 1961-62, (b) the year 1960-61 and (c) various earlier years. The Sur-tax receipt for 1961-62 consists of Sur-tax paid in respect of (a) the year 1960-61, (b) the year 1959-60 and (c) various earlier years.
As regards (b) of the question, it should be noted that there is no significant difference between second year figures and those for a full year.