Effects of Income Tax Reduction

Chronicle (Levin), 16 August 1946, Page 6

Effects of Income Tax Reduction

iiiroiiic tax bcars directly 011 the inconies of the. people, and it is accorilingly proposed, iu respect of tax payaiile tliis linancial year, to reduce the war surcliarge from 03 1-3 per cent. to 13 per cent. This eoncession will absorb an estimated amount of £ 1,750, HOt). Atlached to this statement are scliedules showing ihe ellon t oi' tliis reduction, together with the reduction from 2s lid to 2s in the £1 in tlie eombined social security and national security tax, insofar as a typieai niiirried taxpayer aml company prolits are concerued. A married maii with a depeinlent wife obtains a further reduction in income tax tlirougii the iiicreased amount of exeiiiption for a wife — viz., from £50 to £100. Tliis aniendnient has already been eifected in Ihe Land and Lncome Tax Aniendnient Act, 1013. liis posilion is as foilows: —

Tlie married ma 11 with a wholly depeinlent wife and children for wliom tlie universal family beiieiit is paid obtains tlie advaulage of the social securitv beiieiit oi' 10s per week for eacli cliild.

Income last vear current vear £ £ £ * 400 76 54 500 107 80 000 140 .107 800 212 100

Tax Tax