Pat Rabbitte
Question:128 Mr. Rabbitte asked the Minister for Finance the proportion of income tax paid by the PAYE sector and the self employed (schedule D) in each of the years from 1989 to 1991.
Written Answers. - Income Tax Yield.
Following is the information requested:
Income Tax
|
Percentage of total income tax receipt |
|||
|
1989 |
1990 |
1991 |
|
|
% |
% |
% |
|
|
PAYE (1) |
82.5 |
81.2 |
82.9 |
|
Non-PAYE (2) |
11.1 |
10.1 |
9.4 |
Notes
(1) The figures cover more than income tax on ordinary wages and salaries. They include 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. They also include the tax paid under PAYE on the income from employment of farmers and other self-employed individuals.
(2) These figures include tax paid on income from trades and professions (including farming), together with tax paid on other income such as rent and other investment income. They also include withholding tax on professional fees.
The yield in 1991 from non-PAYE taxpayers 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.