Under Cameron, basic rate tax payers would no longer have to pay tax on the interest from their savings.
The Gift Aid scheme is for gifts of money by individuals who pay UK tax, and allows the charity to reclaim the basic rate tax on the donation.
But the dividends are received by investors as if they have already paid basic rate income tax (the corporation tax rate is about the same as the basic income tax rate).
But it is unclear how the plan would be administered, how many would qualify, or whether or not it will be limited to basic rate tax payers to ensure it is not criticised for funding those who can more easily meet their childcare costs.
But because the profit has been taxed already at the company level those dividends are now received tax free by basic rate income tax payers.
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But to the recipient the dividend arrives as if it has already had basic rate income tax paid.
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Mrs Williams said that if Wales were to be given income tax varying powers, the Welsh Liberal Democrats would want to lower the basic income tax rate to make the tax system fairer and continue Lloyd George's progressive and Liberal principles.
The Conservatives' proposal essentially removes this limit and extends the tax privilege to all lower-rate and basic-rate income-tax payers who receive interest on their deposits.
Mr Salmond's big test will come in 2010, when he hopes to abolish council tax completely and replace it with a local income tax levied at a flat rate of 3p in each pound of basic-rate national income tax due.
Look, say the pundits, at the net effect of his new lower income-tax band (starting next month), the cut in the basic rate of income tax from 23% to 22%, the changes to national insurance, the abolition of the married couples' tax allowance and the mortgage-interest allowance (all starting a year from now), the new child tax credit (from 2001), etc.
It would cut class sizes, provide more teachers and scrap students' tuition fees by putting a penny on the basic rate of income tax.
He may have cut 1p off the basic rate of Income Tax, but overall Labour have increased taxes by the equivalent of 8p in the Pound.
The Lib Dems, who want to lower the basic rate of income tax, said the plans would only result in a marginal saving for people on average incomes.
It had already committed itself to cutting 4 pence off the basic rate of income tax to be paid for by taxing the rich and clamping down on avoidance scams.
Mr Campbell, a former mayor of Vancouver, wants to stimulate the economy by cutting the province's basic rate of income tax to the lowest in Canada, easing regulation of business, and relaxing employment law.
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The Lib Dems have also ditched any policies that might put off potential supporters, such as raising the basic rate of income tax, and they have stopped banging on about things that do not stir the popular imagination, such as proportional representation.
Even if such a wording were possible (which it is not, given the nature of Britain's constitution), Mr Dewar still has problems with writing the rules by which the parliament can use its intended power to vary basic-rate income tax by up to 3p.
There are probably two budgets left before the next general election: two one-penny cuts in the basic rate of income tax would allow Mr Brown to go into the election promising a rate of 20p in the pound if Labour is re-elected and dare the Tories to reverse it.
The conference also urged the executive to support the Liberal Democrat policy to add a penny onto the basic rate of income tax, provide teaching facilities in Gaelic and other minority languages where there is demand, and ensure that class sizes are reduced across the whole age range of pupils.
And with Nationalist expectations that they would win far more seats than they did having been dashed, Mr Salmond is already having to deal with internal criticism of the campaign he ran, especially the decision to promise to raise the basic rate of income tax by 1p in the pound.
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The report points out that the vast majority (85%) of tax revenues already come from people in the top half of the distribution, but if the government wants to raise more from them, raising the basic rate of income tax for the first time in 40 years would be a decent place to start.
The manifesto confirms its ambitions on tax: for a lower 10p starting rate of income tax, for a cut from 8% to 5% in value-added tax on fuel, and for no increase in the 23p basic rate nor the 40p higher rate of income tax.
Specifically, he's proposing a November ballot initiative raising the state's top income tax rate to 12.3%, making it the nation's highest, and raising the basic state sales tax rate, already the nation's highest, to 7.75% from 7.25%.
SNP's plans to put 1p on the basic income-tax rate paid by Scots, in effect annulling the tax cut promised by Mr Brown for next year.
In the Budget last year, my Right Honourable Friend introduced just two rates of tax with the basic rate cut from 22 pence to 20 pence - the lowest rate for 75 years.
The basic contention is that enjoying a preferential tax rate is equal to receiving a subsidy.
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It retains the benefit of a simpler tax system and it also allows basic rate taxpayers to see the benefits as soon as possible, and for the whole of this financial year.
Finalize proposals for tax and social security system reform before the end of FY 2011, including raising the consumption tax rate to 17 percent and basic pension benefits of 70, 000 yen per month for all persons 65 years and older.
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But he could reduce the point at which the top rate starts in order to stop any top-rate taxpayers getting a tax cut at the expense of pushing some people from the basic to the top rate.
Why not raise the income-tax threshold, in particular, rather than tinkering with the bands and basic rate?
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