It’s Time for a Personal Taxes Campaign

Average Tax Rate

100k in 2017

67,600 * 0.20 = 13,520
32,400 * 0.40 = 12,960

26,480 less tax credits 1650+1650+1650+1650+490 = 19,390 tax

USC =

PRSI =
 
Taxpert said:
At the risk of broadening this debate, I have a particular bugbear about the differing treatment of younger v older people in the tax system.
Click to expand...

I agree that the debate needs to be broadened.

It's not just enough to say "Cut taxes"

Single people without children pay average to high taxes.

Married couples on average incomes with children pay almost no taxes when you factor in the negative taxes of child benefits.

The Average Tax Rates look at just this year. It ignores the fact that most people will be getting a lot of the PRSI back in pension and unemployment benefits in later years.

Brendan
 
The €6k (approx) differential between young and old is made up of (round numbers)

Tax - -€500

PRSI. - €4000 (no PRSI payable by over 66s)

USC - €1500. ( no USC payable on 25k of income as it is state oap).

I can (sort of) understand the difference in PRSI. But if it's earned income I'd question it.

I see no justification whatever for a €500 tax credit for 65+.

While I can understand the no USC on the state pension I don't agree with it.
 
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