XN000022-1989-07-19 — Page 19

WEDNESDAY, JULY 19, 1989

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THEY ALSO SHARED THE VIEW THAT SEPARATE TAXATION OF MARRIED WOMEN WAS NOT JUSTIFIED, GIVEN THE ADDITIONAL ADMINISTRATIVE COSTS. THE ADDITIONAL TAX BURDEN ON THE MAJORITY OF FAMILIES. AND THE LACK OF CLAMOUR FROM MARRIED WOMEN FOR THE RIGHT TO MAINTAIN CONFIDENTIALITY ABOUT THEIR INCOME AND TAXATION MATTERS FROM THEIR HUSBANDS.

MR NENDICK REITERATED THAT A FLAT RATE WORKING WIFE ALLOWANCE DID NOT EQUITABLY RESOLVE ALL TAXPAYERS' 'MARRIAGE TAXES' AND THEREFORE THE UNDERLYING INEQUITY STILL REMAINED.

**

*WORKING WIFE ALLOWANCE HAS NOT BENEFITTED EITHER MARRIED COUPLES WHERE ONLY ONE SPOUSE WORKS OR HUSBANDS AND WIVES INDIVIDUALLY CHARGEABLE AT STANDARD RATES. NOR WILL SEPARATE TAXATION PROVIDE THESE TWO GROUPS WITH ANY FINANCIAL BENEFIT.

"BUT THE MAJORITY OF ALL OTHER MARRIED COUPLES WITH BOTH SPOUSES WORKING WILL RECEIVE A BENEFIT FROM SEPARATE TAXATION.

"FOR THOSE WHO DO NOT, THERE WAS NO MARRIAGE TAX' IN THE FIRST INSTANCE AND ANY BENEFIT DERIVED FROM THE INTERIM WORKING WIFE ALLOWANCE CAN ONLY BE REGARDED AS A WINDFALL GAIN

BURDEN THEIR TAX HAS NOT BEEN MADE HEAVIER BECAUSE OF SEPARATE TAXATION, MR NENDICK EXPLAINED.

TT

+1

THE ACTING FINANCIAL SECRETARY NOTED THAT SOME MEMBERS QUITE RIGHTLY POINTED OUT THAT ADDITIONAL COSTS WOULD NEED TO BE INCURRED TO PROVIDE FOR SEPARATE TAXATION.

"FOR A NUMBER OF YEARS THE ADMINISTRATION DECLINED REQUESTS FROM

OF THE MEMBERS TO GRANT SEPARATE TAXATION PARTLY ON THE GROUND REVENUE THAT WOULD BE FOREGONE AND THE ADDITIONAL ADMINISTRATION COSTS.

"AT

THE TIME THE DECISION TO IMPLEMENT SEPARATE TAXATION WAS TAKEN, THE EXTENT OF PUBLIC DEBATE ON THE ISSUE CLEARLY INDICATED ONLY DID IT HAVE UNANIMOUS SUPPORT OF MEMBERS. THAT, NOT THERE WAS SUBSTANTIAL DEMAND FOR IT WITHIN THE COMMUNITY. BECAUSE OF PRIVACY AND INDIVIDUALITY CONSIDERATIONS," MR NENDICK SAID,

BUT ALSO NOT LEAST

THE

BILL WAS PASSED WITH SOME AMENDMENTS, ONE OF WHICH WAS

ΤΟ EXTEND

OF THE JOINT ELECTION THE SCOPE

PROVISIONS

THEM MAKE WOULD OTHERWISE AVAILABLE TO A SMALL GROUP OF MARRIED TAXPAYERS WHO PAY MORE TAX UNDER SEPARATE TAXATION,

TO

RELIEF

"INITIALLY IT WAS INTENDED THAT THESE TAXPAYERS SHOULD OBTAIN THROUGH PERSONAL ASSESSMENT, BUT AFTER CONSIDERING REPRESENTATIONS FROM MEMBERS. IT HAS NOW BEEN AGREED THAT THEY WILL OBTAIN DIRECT RELIEF IN

TO SALARIES TAX BY ELECTING ASSESSED," MR NENDICK SAID.

BE JOINTLY

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