Written question asked by Michael Fallon (Conservative) on Thursday, 28 October 1999, in the House of Commons. It was due for an answer on Thursday, 11 November 1999. It was answered by Baroness Primarolo (Labour) on Thursday, 11 November 1999 on behalf of the Treasury.

Treasury

Question: To ask Mr Chancellor of the Exchequer, If he will indicate the difference between the tax burden in 1996-97 and his projection for the tax burden in 2001-02 on the basis that income tax credits are accounted for as expenditure rather than as negative taxation. (Failed OPQ). - Includes figures.

Answer: Mr. Fallon: To ask the Chancellor of the Exchequer if he will indicate the difference between the tax burden in 1996-97 and his projection for the tax burden in 2001-02 on the basis that income tax credits are accounted for as expenditure rather than as negative taxation. [97011] Dawn Primarolo: Total income tax credits in 1996-97 were 3 per cent. of GDP as compared to the Pre-Budget Report projection of 0.7 per cent. of GDP in 2001-02. New tax credits will be paid by the Inland Revenue through pay packets as income tax credits and will be regarded as such by families that receive them.

Secondary information