Budget 2015 – What you need to know!
Budget 2015 was delivered yesterday. Some good news for Personal Tax in this year’s budget and more promised for next year. Here are a few things you need to know!
- The Higher Rate of Tax has been reduced from 41% to 40%.
- Standard rate (20%) band increased by €1,000 to €32,800 (single) and by €2,000 for married couple with 2 incomes.
- Water Charges relief (not effective until 2015) max tax credit of €100.
- New Home Renovation scheme (introduced in Budget 2014), tax credit of 13.5% based on cost of building. Minimum value spent €5,000, with a maximum spend of €30,000. This has now been extended to rental properties
Universal Social Charge (USC)
- USC – Rates reduced by 0.5% on the 2% & 4% bands now 1.5% & 3.5%.
- New rate introduced for earners over €70,044 of 8% and 11% rate for self employed income over €100,000.
- Increase in exemption limit from €10,036 to €12,012.
Social Welfare Benefits
Other areas to note for TAX:
- VAT for tourism at 9% to be maintained for 2015 and may be extended to other areas in next years budget.
- €5 increase in child allowance payment.
- No increase in Fuel or Alcohol.
- 40 cents on a packet of Cigarettes.