Thousands in Torbay paying less Income Tax

Torbay MP Adrian Sanders has welcomed budget reforms that mean 47,800 Bay residents will pay less or no income tax this year.

From yesterday (Wednesday, April 6), 2,800 of the lowest paid in Torbay no longer have to pay income tax and a further 45,000 will pay £200 less per year.

The tax relief is due to a £1,000 rise in the income tax threshold, a key pledge in the Liberal Democrat manifesto. Only those earning more than £7,475 will pay income tax this year, with another rise in the threshold next year and a final target threshold of £10,000 set by the Government.

Mr Sanders said: “This tax break will help relieve the financial pressure felt by some Bay residents hit with recent rises in VAT and inflation.

“By raising the income tax threshold we can help protect those most vulnerable to price changes, the low paid who form the majority of working people in Torbay.”

The tax cut is being funded in part by a £10bn levy on banks and a new crackdown on tax evaders.