Wales' income tax powers set out by the Treasury
The Treasury says the Welsh government will get the powers to individually vary income tax bands - even after a referendum.
The announcement was made as part of the UK government's full response to proposals for the Welsh government to have tax varying powers for the first time.
The Chief Secretary to the Treasury Danny Alexander has also announced that business rates will be devolved in full.
The announcement came after the Silk Commission, set up by Westminster to look into devolved powers, said Wales should be responsible for raising some of the money it spends.
BBC Wales political editor Nick Servini spoke to Mr Alexander.