Budget 2015 - main points

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The following are the main points of the fiscal changes announced this afternoon by 26 County Finance Minister Michael Noonan

 

TAX:

* Top income tax reduced from 41% to 40%. Entry level for the top rate to tax increased by 1,000 euroto 33,800 euro

* Universal Social Charge (USC) - entry point brought up to 12,000 euro the 2% rate is reduced to 1.5% and the 4% rate is reduced to 3.5%.

* Two new USC rates - 8% on income over 70k euroand 11% on income over 100k euro

* Medical card holders and over-70s earning less than 60,000 euro liable to a maximum USC of 3.5 per cent

* 0.6 per cent pension levy to end in 2014; Additional 0.15 per cent levy to expire at end of 2015

* ‘Double Irish’ tax dodge for multinational corporations to be closed.

EXCISE, TOBACCO AND ALCOHOL:

* Cigarettes up 40c per pack, popular brands will cost 10 euro per pack. Roll-your own tobacco up 20c a pack.

* No increase in alcohol tax, or fuel.

WATER CHARGES:

* Water charges tax relief at standard rate (20%) up to 100 euro a year, claimed the following year.

SOCIAL PROTECTION:

* No cuts in social welfare

* Child benefit up by 5 europer child, will increase by another 5 euro next year.

* Living Alone Allowance for elderly up to 9 euro per week.

* Christmas bonus for welfare will begin again this year, at 25% extra.

HOUSING:

* 80 per cent windfall tax on rezoned development land to be abolished

* Home renovation incentive will be extended for landlords to their rental properties

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© 2014 Irish Republican News