asked the Minister for Finance the estimated cost to the Exchequer in 1988 of a reduction in the level of income tax rates as follows (a) for each 1 per cent at the 58 per cent band, (b) for each 1 per cent at the 48 per cent band, and (c) for each 1 per cent at the 35 per cent band.
Written Answers. - Tax Rates.
43.
Assuming the enactment of this year's budget proposals the costs in 1988, estimated by reference to the period 6 April 1988 to 31 December 1988, arising from the changes referred to in the question are as follows:
Changes in rates of income tax |
Estimated cost to the Exchequer (1988) |
£ million |
|
(Provisional) |
|
35% — reduction of one percentage point to 34% |
27 |
48% — reduction of one percentage point to 47% |
5 |
58% — reduction of one percentage point to 57% |
5 |