Tax

Mr. Chris Smith
To ask the Secretary of State for Social Security if he will publish a table showing the number of (a) working heads and (b) dependants facing marginal tax and benefit withdrawal rates in excess of 40 per cent. in the manner of his answer to the late hon. Member for Kensington on 25 March 1988, Official Report, column 244.

Mrs. Gillian Shephard
The latest available information is set out in the table. The table shows the number of tax units where the head faces a combined withdrawal rate above 50 per cent., and the total number of individuals, including spouses and children, in their families.per cent.,

(b) over 50 per cent., (c) over 60 per cent., (d)
 over 70 per cent., (e) over 80 per cent., (f) over 90 per cent. and (g) over 100 per cent.; (i) now and (ii) in each year since 1978–79.

Mrs. Gillian Shephard
Available estimates are set out in the table. The first table shows the number of tax units facing combined marginal tax/benefit withdrawal rates in the requested ranges, in 1985 and as currently projected for 1989–90. These are the only years for which estimates on a comparable basis are available. The second table shows the number of tax units facing marginal rates of income tax in the requested ranges. Estimates are provided for 1985–86 and 1989–90, to be comparable with those provided incorporating social security withdrawal rates, and also for 1978–79.--------------
|Percentage  |
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|            |
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|100 and over|
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|90 to 99    |
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|80 to 89    |
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|70 to 79    |
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|60 to 69    |
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|50 to 59    |
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|40 to 49    |
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|                      |
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|                      |
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|100 per cent, and over|
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