Impact of variations in national and sub-national income tax
Impact of variations in national and sub-national income tax
Since April 2018, Welsh
Government has had responsibility for some of the taxes paid in Wales,
including the new Welsh
Rates of Income Tax (WRIT) that came into force in April 2019.
The Finance Committee conducted an
inquiry into the possible impact of different income tax rates across the
Wales-England border.
Terms of reference:
- To examine the effects of
sub-national income tax variations in international tax systems on the
behaviour of low, medium and high income earners, particularly migration
and tax avoidance.
- To understand how low,
medium and high income earners may respond to income tax rate divergence
for each tax band between Wales and England.
- To understand the level of
divergence in income tax rates that could trigger a behavioural change in
low, medium and high income earners in Wales and England.
- To assess the monetary
impact on WRIT revenue with varying levels of tax rate divergence.
The Committee published its report (PDF, 2MB) on 2 July 2020. The Welsh Government responded (PDF 440KB) to the Committee’s report on 16 September 2020.
Date, Agenda and Minutes |
Transcript |
Video |
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David Phillips, Associate Director,
Institute for Fiscal Studies |
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Ed Poole, Senior Lecturer in Politics and
International Relations, Cardiff University Guto Ifan, Research Associate, Wales
Governance Centre, Cardiff University David Bradbury, Head of the Tax Policy and
Statistics Division, OECD Bert Brys, Head of the Country Tax Policy
and Personal and Property Taxes Units, OECD Sean Dougherty, Senior Adviser, OECD |
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Professor James Foreman-Peck, Professor in
Economics, Cardiff University |
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Professor Kent Matthews, Sir Julian Hodge
Professor of Banking and Finance, Cardiff Business School Dr Long Zhou, Research student, Cardiff
Business School |
|
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Rebecca Evans AM, Minister for Finance and
Trefnydd Anna Adams, Deputy Director, Head of Tax
Strategy Policy and Engagement, Welsh Government Tom Nicholls, Economic Adviser, Welsh
Government |
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Business type: Committee Inquiry
Status: Complete
First published: 04/10/2019
Documents
- Written evidence : James Foreman-Peck and Peng Zhou, Cardiff University PDF 382 KB View as HTML (1) 23 KB
- Note from the Minister for Finance and Trefnydd - Higher rate earners in Wales employed in the public sector PDF 363 KB
- Report: Impact of variations in national and sub-national income tax (PDF, 2MB)
- Welsh Government response (PDF, 440KB)
Consultations