9th March 2015
The Government is expected to hand 27m voters an income tax-cut in the upcoming Budget on 18 March.
According to a report in The Sunday Times in its final Budget before May’s general election, the Coalition is gearing up to give millions of workers a fiscal bonus by raising the income tax personal allowance up towards the £11,000 mark.
While the personal allowance is already due to rise from £10,000 to £10,600 in April, the report claimed the final figure will be nearer to the £10,800 mark. The move would see between £160 and £200 put back into in voters’ pockets.
A senior government source told The Sunday Times: “The focus will be on lifting the poorest in society out of tax.
“We want to move towards £11,000.”
The report also outlined how it is also expected that the Chancellor George Osborne will use the Budget to announce a “Google tax” crackdown designed to hit multinationals accused of diverting profits from Britain to low-tax jurisdictions. It is anticipated that Osborne will make such businesses show revenue and profit figures on a country-by-country basis for the very first time.