3.2.87

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Third, that the child allowance be increased,

for a first child from $9,000 to $11,000,

for a second child from $6,000 to $8,000. The

and

new allowances will be respectively some 22%

and 33% higher than the present allowances

which were set in 1985.

Lastly, that the third band in the Second

Schedule of the Ordinance, that is to say the

band to which the 15% marginal rate of tax

presently applies, be widened from $10,000 to

$20,000. This will defer by $10,000 of income

the point at which the 20% rate takes effect

and, at the same time, will increase the

income levels at which taxpayers enter the

standard rate zone.

124.

Because an across the board increase in all

allowances would be extremely expensive, I further propose

that the new additional personal allowances of $5,000 for

a single person and $10,000 for a married couple be

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