Less affluent citizens benefit from tax policies

YOUR editorial of April 24 claims the Government has “lined the pockets of the rich with generous tax concessions” over two successive administrations.

This is not true. Those less well off have benefited from the Government’s tax policies. There has a been a successful attempt to remove the lower paid from the tax net. It means that, in 2006, more than one in three earners is tax-exempt compared to one in four before this Government came to office.

Furthermore, in 2006, the percentage of the income tax yield from those earning at or under the average industrial wage has been reduced to just 6% compared with more than 14% in 1997. In 2006 the top 1% of income earners will pay approximately 20% of all income tax collected compared to 15% in 1997.