Treasury written question – answered at on 20 December 2024.
Tan Dhesi
Chair, Defence Committee, Chair, Defence Committee
To ask the Chancellor of the exchequer, what the highest possible marginal tax rate is.
Tan Dhesi
Chair, Defence Committee, Chair, Defence Committee
To ask the Chancellor of the exchequer, how many people were subject to a marginal tax rate (a) at and (b) above 100% in the last financial year.
James Murray
The Exchequer Secretary
For individuals with income between £100,000-£125,140, the income tax Personal Allowance is tapered by £1 for every £2 earned above this limit, until it has been completely withdrawn at £125,140. Taxpayers with incomes within the taper band face a higher effective marginal tax rate of 60%, compared to 40% below £100,000 and 45% above £125, 140. Income tax rates and thresholds are devolved in Scotland, so marginal rates within the taper band will vary based on the registered address of the taxpayer.
Yes2 people think so
No1 person thinks not
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The chancellor of the exchequer is the government's chief financial minister and as such is responsible for raising government revenue through taxation or borrowing and for controlling overall government spending.
The chancellor's plans for the economy are delivered to the House of Commons every year in the Budget speech.
The chancellor is the most senior figure at the Treasury, even though the prime minister holds an additional title of 'First Lord of the Treasury'. He normally resides at Number 11 Downing Street.
