1. ITV Report

Ipswich MP gets Budget mention over tax statement idea

What the Chancellor said about the Ipswich MP Ben Gummer:

My Honourable Friend the Member for Ipswich recently proposed to this House that we send to taxpayers an annual statement showing them just that.

I think this is an excellent idea - and I intend to put it into practice.

HMRC contacts roughly half of taxpayers each year.

From 2014, these 20 million taxpayers will at the same time receive a new Personal Tax Statement.

This will tell people how much income tax and national insurance they have paid; their average tax rates; and how this contributes to public spending.

In other words - how much, proportionately, of their tax bill goes to fund the healthcare, education, or welfare; and how much is spent on servicing interest payments on the national debt.

People will know what they are paying - and what they are paying it for.

A tax system that is simple and transparent: that is our first goal.

– Chancellor of the Exchequer, George Osborne

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