LEVY ON COMPANIES

Evening Post, Volume CXXVIII, Issue 29, 3 August 1939, Page 7

LEVY ON COMPANIES

EFFECT OF CHANGES

A considerable alteration in the J method of assessing the income tax* payable by companies is outlined in the Financial Statement delivered last night. Under the present law the basic rate is one shilling in the pouna, rising by l-100th of a penny for every pound of taxable income up to £5500, and thereafter by l-150th of a penny to a maximum of 7s 6d in the pound. The basic rate is now to be 2s in the pound, as for personal incomes, increased uniformly by l-125th of a penny to a maximum of 7s lid in the pound, reached at £8875. The effect of the alteration on various levels of company income is shown in the following table:—

Income. £ 500 , 750 1.000 1,500 2.000 3,000 4,000 . 5,000 10,000 2.500 15,000 !0,000 15.000 iO.000 1936-37. £ s. cl. 35 8 4 60 18 9 91 13 4 16S 15 0 26G 13 4 525 0 0 S66 13 4 1.291 13 4 3.750 0 0 4.6S7 10 0 5,625 0 0 7.500 0 0 9,375 0 0 10,250 0 0 1939-40. £ s. cl. 58 6 8 93 15 0 133 6 8 225 0 0 333 6 8 600 0 0 933 6 8 1,333 6 S 3.95S 6 S 4,947 18 4 5,937 10 0 7,916 13 4 9,895 10 8 10.S75 0 0