Pearse Doherty (Donegal South West, Sinn Fein) | Oireachtas source

We have also published legislation on this issue. The amendment would remove them from the universal social charge, USC, tax net and it is an appropriate measure. If it were passed it would come at a cost of €94 million and would affect 296,000 people, based on the figures I obtained from the Department. Those earning the minimum wage and below as their weekly income would have this wage protected and would be exempt from the universal social charge.

This is one of the flaws of universal social charge. It was introduced at a time of panic and has been amended since. The Minister has removed a significant number of people from the USC net. We should go further and allow those earning less than the minimum wage to be brought out of it completely, which would be the effect of the amendment. It would be a big bonus to the 296,000 people. If one earns €17,542 per annum the likelihood is one spends the vast amount, if not all, of it in the real economy so it would be a stimulus to the real economy and would alleviate pressure. There are other ways of finding the €94 million the measure would cost.