Alan Farrell (Dublin North, Fine Gael)
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Question 61: To ask the Minister for Finance the amount of money generated by the universal social charge on a year by year basis; and if he will make a statement on the matter. [22932/11]

Pearse Doherty (Donegal South West, Sinn Fein)
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Question 80: To ask the Minister for Finance the cost to the Exchequer of abolishing the universal social charge. [23253/11]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 61 and 80 together.

The Universal Social Charge (USC) is a tax which replaces the income and health levies. It is intended to broaden the tax base in an equitable manner and applies to approximately 500,000 more income earners than the income and health levies. USC receipts are collected as part of income tax. The Budget 2011 projections for receipts are set out as follows.

In addition to the projected USC receipts detailed above, the Exchequer benefits in 2011 from arrears collected in respect of the income and health levy. As with all new income tax measures, the first year yield is expected to be significantly below the full-year yield for a number of reasons including the fact that a portion of the tax collected in the year in which a measure is introduced relates to earnings in the previous year.

On the basis of the forecasts set out in the Budget the cost to the Exchequer of abolishing the universal social charge would be of the order of 4 billion in terms of the 2012 projection.

In relation to USC receipts, approximately €1.7 billion was collected in the first eight months of 2011 and this broadly is in-line with expectations.

Alan Farrell (Dublin North, Fine Gael)
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Question 62: To ask the Minister for Finance the context for the forthcoming review of the universal social charge; and if he will make a statement on the matter. [22933/11]

Charles Flanagan (Laois-Offaly, Fine Gael)
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Question 108: To ask the Minister for Finance his plans to reduce the universal social charge; and if he will make a statement on the matter. [23574/11]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 62 and 108 together.

As I outlined in my reply of 30 June 2011, a review of the Universal Social Charge is a commitment in the Programme for Government. This review has commenced.

The Terms of Reference of the review are broad and wide-ranging and include, but are not limited to, the following areas:

· Low paid income earners;

· Persons over 65;

· Medical Card Holders;

· Widows/Widowers;

· Self-employed;

· Public Service Pensioners;

· Employer contributions to PRSAs; and

· Any other issues (including any operational issues that have arisen in the administration of the charge).

When the review is completed and the findings are presented to me, I will make any necessary decisions in the context of Budget 2012.