Vol. 403 No. 8
91 Mr. Noonan (Limerick East) asked the Minister for Finance the estimated cost in 1991 of the following income tax reductions: (a) 1 per cent off standard rate, (b) 1 per cent off 48 per cent rate, (c) 1 per cent off higher rate.
The estimated full year costs to the Exchequer of the changes mentioned by the Deputy are approximately as follows in 1991-92 terms: (a) £65 million, (b) £11 million and (c) £12 million. Approximately 60 per cent of the full year cost would accrue in 1991. These figures are provisional and are likely to be revised.
92 Mr. Noonan (Limerick East) asked the Minister for Finance the percentage of income taxpayers who now pay tax only at the standard rate and the estimated cost to the Exchequer in 1991 of widening the standard rate band to raise this percentage to (1) 70 per cent (2) 75 per cent (3) 80 per cent and (4) 90 per cent of taxpayers.
Approximately 63 per cent of income tax payers are liable to tax at a rate not exceeding the standard rate.
The following table sets out the estimated costs to the Exchequer of the increases to the standard rate band which would be necessary to achieve the effects outlined in the question.
|
Percentage to taxpayers liable to tax at a rate not exceeding the standard rate |
Estimated Cost to the Exchequer |
|
|
1991 |
Full Year |
|
|
£m |
£m |
|
|
70% |
69 |
115 |
|
75% |
102 |
171 |
|
80% |
136 |
226 |
|
90% |
200 |
334 |
