Written answers

Tuesday, 27 May 2014

Photo of Pearse DohertyPearse Doherty (Donegal South West, Sinn Fein)
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82. To ask the Minister for Finance the cost to the Exchequer of increasing the standard tax rate band from €32,800 for a single person, €41,800 for a married couple one earner, €65,600 married couple two earners, €36,800 one parent family, by €260, €520, €1,040, €1,560, €2,080 and €2,600 respectively per annum or €5, €10, €20, €30, €40, €50 per week; and if he will state in each category the number of persons that would benefit from these annual increases. [22163/14]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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I am informed by the Revenue Commissioners that the full year cost to the Exchequer, estimated by reference to 2014 incomes, of increasing the standard income tax band in the order of €260, €520, €1,040, €1,560, €2,080 and €2,600, while also maintaining the current monetary differences between the single persons standard band and the various other classes of tax band, is set out in the following table. The proposed extensions to the standard income tax band are assumed to also apply to civil partnerships.

-Single personMarried - one earnerMarried - two earnersOne parent family
Proposed increase in standard income tax bandEstimated cost €mEstimated cost €mEstimated cost €mEstimated cost €m
€26015.56.218.21.1
€52030.712.336.12.2
€1,04060.424.471.14.3
€1,56089.336.3105.36.3
€2,080117.247.9138.58.3
€2,600144.459.4170.710.2
I am further advised by the Commissioners that the number of single persons, married couples - one earner, married couples - two earners and one parent families, who would benefit from these extensions of the standard income tax band would be approximately 285,000, 114,000, 215,000 and 20,600 tax units respectively.

These figures are estimates from the Revenue tax forecasting model using the latest actual data for the year 2011, adjusted as necessary for income, employment and self-employment trends in the interim. They are, therefore, provisional and may be revised. It should be noted that the figures do not include numbers or costings for 'widowed' individuals.

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