It’s budget day here in Ireland, and the official news of any changes to taxation or public spending will start to come in from about 2.30pm onwards. And so it’s a perfect opportunity to try out the Live Blogging plugin:
- Capital Expenditure increased by €3.5 billion next year
- Social Housing investment of €2.2 billion over 3 years
Also selling off Bord Gais for about €400 million.
So, the Universal Social Charge (USC) rates are changing:
- 2% rate is being reduced to 1.5%
- 4% rate is being reduced to 3.5%
- New 8% rate for people on incomes over €70,000
- New 11% rate for people on incomes over €100,000
Sadly I don’t earn enough to pay either the 8% or 11% rates!
€10 for a packet of fags!
Reduction to the Universal Social Charge as well! Hurrah! And increases in the Income Tax threshold (though not by much), and a 1% drop in the upper rate of Income Tax from 41% to 40%.
With all these giveaways, I’m probably now about €2 a month better off!
We’re also getting tax relief on Water Charges, which is, in effect, a tax. Tax relief on a tax? That doesn’t make a whole lot of sense, but if it means paying less money to the government then I’ll take it. So basically, I won’t have to pay income tax on the Water Charges – so that will, for those who pay upper rate tax, cost about 40% less than expected.
Oh look, we’re finally getting rid of the Pension Levy. The 0.6% tax on your supposed tax-free pension pot. Hopefully now, when I retire, my pension will be worth more than I paid into it!