Hi,
there was a mistake with the this question, appartently the Department of Finance sent over the wrong electronic copy. It's been corrected on the Dáíl website. The correct answer is below.
Ádh mór libh, fáilte romhaibh ar ais! Great to have the site back up and running!
Regards.
Written Answers Nos 126-134
Tax Yield
126. Deputy Patrick Nulty
asked the Minister for Finance the amount of extra revenue per annum that would be generated if a new third rate of income tax of 45% was introduced on incomes over €80,000 per annum; and if he will make a statement on the matter. [23328/13]
127. Deputy Patrick Nulty
asked the Minister for Finance the amount of extra revenue per annum that would be generated if a new third rate of income tax of 50% was introduced on incomes over €125,000 per annum; and if he will make a statement on the matter. [23329/13]
Minister for Finance (Deputy Michael Noonan): I propose to take Questions Nos. 126 and 127 together.
It is assumed that the threshold for the proposed new income tax rates mentioned by the Deputy would not alter the existing standard rate band structure applying to single and widowed persons, to lone parents and married couples. On that basis, I am advised by the Revenue Commissioners that the estimated full year yield to the Exchequer, estimated by reference to 2013 incomes, of the introduction of a third rate of income tax of 45% to be applied on the portion of taxable incomes in excess of €80,000 per annum would be of the order of €270 million.
The introduction of a third rate of income tax of 50% to be applied on the portion of taxable incomes in excess of €125,000 per annum would be of the order of €370 million. The above costings have been calculated on the basis of two alternative proposals.
However, given the current band structures, major issues would need to be resolved as to how in practice such new rates could be integrated into the current system and how this would affect the relative position of different types of income earners.
These figures are an estimate from the Revenue tax-forecasting model using latest actual data for the year 2010, adjusted as necessary for income and employment trends in the interim. They are, therefore, provisional and subject to revision.
Paul Mulville
Posted on 27 May 2013 11:57 am
Hi,
there was a mistake with the this question, appartently the Department of Finance sent over the wrong electronic copy. It's been corrected on the Dáíl website. The correct answer is below.
Ádh mór libh, fáilte romhaibh ar ais! Great to have the site back up and running!
Regards.
Written Answers Nos 126-134
Tax Yield
126. Deputy Patrick Nulty
asked the Minister for Finance the amount of extra revenue per annum that would be generated if a new third rate of income tax of 45% was introduced on incomes over €80,000 per annum; and if he will make a statement on the matter. [23328/13]
127. Deputy Patrick Nulty
asked the Minister for Finance the amount of extra revenue per annum that would be generated if a new third rate of income tax of 50% was introduced on incomes over €125,000 per annum; and if he will make a statement on the matter. [23329/13]
Minister for Finance (Deputy Michael Noonan): I propose to take Questions Nos. 126 and 127 together.
It is assumed that the threshold for the proposed new income tax rates mentioned by the Deputy would not alter the existing standard rate band structure applying to single and widowed persons, to lone parents and married couples. On that basis, I am advised by the Revenue Commissioners that the estimated full year yield to the Exchequer, estimated by reference to 2013 incomes, of the introduction of a third rate of income tax of 45% to be applied on the portion of taxable incomes in excess of €80,000 per annum would be of the order of €270 million.
The introduction of a third rate of income tax of 50% to be applied on the portion of taxable incomes in excess of €125,000 per annum would be of the order of €370 million. The above costings have been calculated on the basis of two alternative proposals.
However, given the current band structures, major issues would need to be resolved as to how in practice such new rates could be integrated into the current system and how this would affect the relative position of different types of income earners.
These figures are an estimate from the Revenue tax-forecasting model using latest actual data for the year 2010, adjusted as necessary for income and employment trends in the interim. They are, therefore, provisional and subject to revision.
Question No. 128 answered with Question No. 123.