Róisín Shortall (Dublin North West, Labour)
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Question 245: To ask the Minister for Health and Children the types of income on which the health levy is currently payable; and the types of income that are currently exempt from the health levy. [15936/09]

Mary Harney (Dublin Mid West, Progressive Democrats)
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The health levy is payable on all income other than that earned by those

• earning less than €500 per week/€26,000 per year

• who have a medical card or its EU equivalent

• under 16 years

• over 70 years

• in receipt of certain categories of social welfare payments (i.e. survivor's pension, widows (non-contributory) pension, deserted wife's benefit and allowance, death benefit pension and one parent family payment)

The basis on which contributions are levied is set out in the Health Contributions Act, 1979 as amended. On foot of the recent Supplementary Budget the Social Welfare Bill 2009 contains provisions to increase the rate of contribution. The current rate of contribution is 2% of gross income up to €1,925 per week or €100,100 per annum and 2.5 % on the balance of income in excess of those amounts in a contribution year. With effect from 1 May, subject to the legislation being enacted, the new rates to be applied are 4% of gross income up to €1,443 per week or €75,036 per annum and 5% on the balance of income in excess of those amounts in a contribution year.