Treasury Minister Eddie Teare MHK has announced the start of a public consultation on moves to further simplify the island’s income tax system and lift thousands of the lower paid out of the tax net.
The proposals, first set out in this year’s Manx Budget, would see the abolition of the lower 10 per cent income tax rate, the effect of which would be offset by a significant increase in personal allowances, from £9,500 per person to around £14,000.
The change would leave the island with a single personal income tax rate of 20 per cent, after the personal allowance.
The Treasury consultation ‘Proposed Changes to Individual Taxation’ starts tomorrow (Friday) and is due to close on Friday, October 9.
It will be available in the consultations section of the government’s website.