Income tax, pay and pensions: Where the parties stand
PUBLISHED: 12:04 01 April 2010 | UPDATED: 17:45 25 August 2010
Chancellor Alistair Darling s budget: l Winter fuel allowance rates extended for further year. l £4 rise in child tax credit for parents with young children from 2012. l Inheritance tax threshold frozen for four years. l Stamp duty scrapped for homes s
Chancellor Alistair Darling's budget:
l Winter fuel allowance rates extended for further year.
l £4 rise in child tax credit for parents with young children from 2012.
l Inheritance tax threshold frozen for four years.
l Stamp duty scrapped for homes selling for up to £250,000 for first-time buyers, for two years.
l Stamp duty on residential property sales over £1million to increase to five per cent from April 2011.
l Tax allowances for those on over £100,000 gradually removed.
l £2.5 billion package for small businesses, to boost skills and innovation.
l One-year business rate cut from October to help 500,000 companies.
l Investment allowance for small firms doubled to £100,000.
l Doubling relief on capital gains tax for entrepreneurs but no change to capital gains tax rates.
l Amount of time over-65s must work to receive work credits reduced.
l £385 million to maintain road network.
l Royal Bank of Scotland and Lloyds Bank Group to provide £94 billion in small business loans.
l Six-month work or training guarantee for under-24s extended to 2012.
l Annual limits on Individual Savings Accounts (ISAs) will rise from £7,200 to £10,200 next month.
l Funding for 20,000 new university places in science and maths but institutions must make savings elsewhere.
l £35 million enterprise fund to help university-launched businesses.
Liberal Democrat economic pledges:
l Raise the income tax threshold to £10,000.
l Restore the link between earnings and annual increases in state pensions.
l Close tax loopholes and cut reliefs that benefit the wealthiest.
l Restrict tax relief on pension contributions to the basic rate.
l Align capital gains tax to income tax rates.
l Reduce annual exemption of capital gains tax from £10,100 to £2,000 to stop the allowance from being used for tax planning.
l Introduce a small levy on the value of properties over a threshold of £2 million.
l Replace air passenger duty with a per-plane tax, providing an incentive for airlines to fill seats and discourage them from running empty flights.
l Introduce a levy on domestic flights to discourage travellers from choosing air travel.
Conservative economic pledges:
l One-year public sector pay freeze in 2011, but not affecting the million lowest-paid workers.
l Bringing forward the date at which the state pension age starts to rise to 66, to no earlier than 2016 for men and 2020 for women.
l Stop tax credits to families with incomes over £50,000.
l Cutting spending on child trust funds for all but the poorest third of families and families with disabled children.
l Capping the biggest public sector pensions above £50,000.
l A five per cent pay cut for ministers followed by a five-year freeze, and a ten per cent reduction in the number of MPs.
l Raising the inheritance tax threshold to £1million.
l Taking nine out of ten first-time buyers out of stamp duty by raising their threshold to £250,000.
l End restrictions on people starting a business in social housing, to enable social tenants to become entrepreneurs.
l Cut the headline rate of corporation tax to 25 pence or lower and the small companies' rate to 20 pence.
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