asked the Minister for Finance what would have been the cost to the revenue of increasing the married allowance for income tax purposes for the years 1960/61 and 1961/62 respectively by £20 per annum, 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. - Cost of Increasing Income Tax Married Allowance.
90.
The information is as follows:—
ESTIMATED cost of increasing the married allowance for Income Tax purposes by £20.
|
First year cost |
Full year cost |
|
|
£ |
£ |
|
|
For the year 1960-61 |
215,000 |
455,000 |
|
For the year 1961-62 |
365,000 |
460,000 |
Notes:
(a) The figure of first year cost for the year 1960-61 takes account of the abatement of one-half year's tax for that year provided by Section 14 of the Finance (Number 2) Act, 1959, in the case of emoluments coming within the scope of Pay As You Earn.
(b) There is no significant difference between second year cost and a full year's cost.
(c) The increased allowance would also operate for the purposes of Sur-tax by virtue of Section 3 of the Finance Act, 1959.