Proinsias De Rossa
Question:64 Proinsias De Rossa asked the Minister for Finance the percentage of the total income tax paid during 1991 by (a) PAYE sector (b) farmers and (c) the self-employed.
Written Answers. - Income Tax Statistics.
Following is the information requested:
Income Tax 1991.
|
Percentage of total income tax receipt |
|
|
% |
|
|
PAYE |
82.9 (1) |
|
Farmers |
1.1 (2) |
|
Other non-PAYE |
8.3 (3) |
Notes:
1. The figure covers more than income tax on ordinary wages and salaries. It includes tax paid by directors of close companies who are akin to the self-employed as well as tax on "other income" of employees such as rent and other investment income. It also includes the tax paid under PAYE on the income from employment of farmers and other self-employed individuals.
2. Income tax on farming profits is collected with Schedule D tax generally and the figure shown is, to some extent, estimated. The figure shown is the tax paid by full-time farmers together with the estimated tax paid by trader-farmers on their farming profits only.
3. This figure includes tax paid on income from trades and professions (other than farming), together with tax paid on other income such as rent and other investment income. It also includes withholding tax on professional fees.
The yield in 1991 from farmers and other non-PAYE was reduced by the once-off effect of deferring payment of the balances of 1990-91 tax from 1991 to 1992. Ordinarily these balances, amounting to about £30 million, would have been paid in 1991 but were deferred to 1992 as a transitional effect of introducing the Current Year Basis of assessment for self-employed persons in 1990. The yield from farmers in 1991 was further reduced because of a decrease in farming profits.
The figures in the table do not include receipts of deposit interest retention tax or of certain other miscellaneous tax payments. Basic data are not available which would enable the amounts of these tax payments which are attributable to particular classes of taxpayers to be ascertained. The percentage figures given must be seen in the context of the relative numbers of taxpayers in each of the sectors mentioned.