Not happy, more that we don’t have a choice! SF would be disastrous but the current shower aren’t much better imo. No oversight or accountability and not a peep from the media about the criminal amounts of money they waste. Infuriating.
Budget 2026: No changes to personal income tax planned
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Yes, I just can't decide if I should leave the country or stop working and get the dole.
The only exceptional thing is the incredible amounts of tax revenue they have been taking in mostly from corporation tax from global corporations caused by them moving their intellectual property to Ireland , basically ireland gets the tax revenue from the global operations of these corporations.
David Mcwilliams said recently that this is actually damaging the domestic irish economy because it has made the state too big with too much buying power in this small economy causing inflation and pushing out small businesses and private individuals. The irish state is spending 50% more now than it was before Covid, it is the largest purchaser of new houses through various state bodies and charities not vulture funds. So the state is using tax revenue to buy houses and competing against first time house buyers using those very house buyers tax payments to do it. Now Pascal donohue has said that they will not be raising tax credits and tax bands in line with inflation in this budget so that is effectively a rise in taxation. However all the welfare payments will still be raised with christmas bonuses etc.
So they are throwing more fuel on this inflationary fire , making welfare more and more attractive relative to work, making it less attractive for high skilled people like doctors etc to move to ireland because of high income taxes, high investment taxes, no ISAs and expensive housing.
Entertaining to wisecrack about people giving up €100k for the dole etc. but in my opinion it is not healthy for society in general if people subconsciously feel they are dis-incentivised to work hard and push themselves forward and therefore implicitly feel pushed in other directions. A couple of decades ago it could be argued that this was an upper class issue but I'd challenge anyone nowadays to form a family, house themselves and bring up the family in Dublin while working on the standard rate. A mature societal discussion about this would be worthwhile - bear in mind domestic labour increasingly competes with AI R&D (tax incentivised and funded at fairly low interest rates) and offshore locations.
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Poor choice of words by me. Was in the context of people actively choosing to leave/stop working due to taxation. If you’re paying the 52.2% rate you’ve decided not to flee it, but assumedly there is a point at which that no longer holds.
Different for everyone depending on a variety of factors. For me, the SD & SF proposals would probably be enough to send me to a more tax friendly location.
I do think it has an impact on incentives and work in the sense that if you're on 100k and you're weighing up whether to go for a promotion to the next level on maybe 120-130k and there's a 65% marginal tax rate, you're thinking is it really worth the extra stress, responsibility, pressure, work hours to be taking home 35% of the extra, or maybe 10k a year after tax best case?
People might feel pretty much as well off on around 100k with a better quality of life. Companies then find it very hard to get people for higher roles and maybe locate those high end roles elsewhere so the tax take doesn't increase as hoped to the exchequer. It's not a cliff edge but can definitely influence culture over time imo
People might feel pretty much as well off on around 100k with a better quality of life. Companies then find it very hard to get people for higher roles and maybe locate those high end roles elsewhere so the tax take doesn't increase as hoped to the exchequer. It's not a cliff edge but can definitely influence culture over time imo
Yep. Comes a point where you start to feel like a mug for supporting yourself - and those who can’t be bothered to. Not including carers or disabled in that obviously, they deserve it all and more. But there’s a huge cohort who are making fools of us all.
I also feel people underestimate the gearing effect of tax increases on those who already pay high taxes.
If you increase the effective rate of tax by 5% on someone who currently pays no tax. They see their payslip down 5%. If you do the same to someone who already has a 50% effective tax rate, they see their payslip down 10%.
The effect gets more and more extreme as you ratchet up taxes on high earners.
Is there? Unemployment is c. 4.7% which is practically full employment.
Full employment - Wikipedia
Yes up to €115K gross/reckonable earnings but not over that.
Tax relief limits on pension contributions
This page outlines the tax relief limits on pension contributions
www.revenue.ie
Dr Strangelove
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I’m a >€100k earner and am in no hurry for promotion as the cost-benefit doesn’t really stack up.
This tax cut for the hospitality sector would be the greatest unforced policy error by an Irish government in a very long time.
I’ve emailed all my TDs to object.
It’s so strange. Most policy decisions are either for solid economic reasons or for populist reasons.
This decision is both economically nonsensical and massively unpopular.
One of the weirder OGs ever. The timing is also hilarious against the backdrop of no tax band indexation or cost of living package. Whatever if they did it along with one of the more generous budgets. Going to maximise the negative publicity it gets.
They were emboldened by the lack of any major backlash when they raided private pension funds to cut taxes for the hospitality industry.
Hopefully this time because people will be directly affected, there will be a major backlash against the government.
Not voting or vote spoiling is not an effective backlash against the government.
Hopefully this time because people will be directly affected, there will be a major backlash against the government.
Not voting or vote spoiling is not an effective backlash against the government.
Dr Strangelove
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I think this measure made sense in the context of the very peculiar situation of May 2011 for a few reasons:
1) the new FG-Lab government needed to signal a departure from the troika plan agreed by the outgoing FF&Greens but in a fiscally neutral way;
2) lump-sum taxes like the levy on pension assets (especially unexpected ones) are non distortionary. In layman’s terms it means they don’t cause people to work or spend less;
3) unemployment was 15% and actual viability was at stake for tens of thousands of businesses. The VAT reduction helped keep many firms ticking over and staff employed. In economic terms the “multiplier” from fiscal stimulus is much higher in a deep recession like 2011 than in a boom like that of 2025.
But none of these circumstances pertain today.
Darina Allen was on Brendan O'Connors radio show tpday.
She was talking away about country people making soda bread in bygone years.
During this she remarked that people were poor back then.
She paused and then said, in a different sort of way.
Interesting comment.
She was talking away about country people making soda bread in bygone years.
During this she remarked that people were poor back then.
She paused and then said, in a different sort of way.
Interesting comment.
Sorry, maybe I posted this, part of C&AG Report in the wrong place.
I am planning to Retire early in a couple of years. Part of the reason is I just feel like im being slapped in the face with too much tax. I refuse overtime at work to the disgust of my boss. he thinks I should be begging for it, but there is no point in it for the amount I get to keep out of it.
My other half was asked to work for a school scheme at the weekends which she was happy to do. They were offering her €25 per hour which wasnt much but she was happy to work with the kids for a few hours at the weekends. I told her by the time she pays for fuel, tolls and then over 50% tax she will actually be paying to do that job. So just on principle she decided not to do it.
Once you are on the higher tax rate you are looking at half of everything you earn for OT and extra jobs being taken out of your pocket. Thats a slap in the face.
I think this is comparing €70,000 to AU$70,000? There are several factors to consider here but we need to at least adjust for the currency conversion, which would put it at AU$115,000.
The marginal rates may differ significantly but the effective tax rate on the above salary in Ireland is 30% and in Australia is 24%, so not a big gap.
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