Vol. 526 No. 5
68 Mr. McGrath asked the Minister for Finance if, further to Parliamentary Question Nos. 187 and 188 of 15 November 2000 and his response to Parliamentary Question No. 215 of 9 December 1997, he will give an explanation as to the discrepancy in the figures provided. [27082/00]
In my reply of 9 December 1997 the number of taxpayers liable to income tax at the higher rate for each of the years 1988-89 to 1998-99, inclusive, were expressed as a percentage of the total number of taxpayers paying tax at the various rates of tax. This did not include those income earners on the tax file who were exempt from paying tax because their income was below the relevant income tax exemption limits or personal allowances.
Because of the radical changes to the income tax structure in the 1999 and 2000 budgets, and the substantial increase in the numbers of those exempt from tax, it is now more appropriate to look at the percentage of taxpayers on the higher rate in terms of the total number of income earners on the tax record categorised by those who are exempt, those on marginal relief, those liable at the standard rate and those on the higher rate of income tax. The figures I provided in my replies to Questions Nos. 187 and 188 on 15 November last were compiled on this more accurate basis.
