Wednesday 18 January 2017

Editorial: USC cut could be easy option for Coalition

Published 26/08/2014 | 02:30

DECISIONS: Michael Noonan and Enda Kenny have a big role to play in convincing 27 governments to make the technical amendment to the Troika deal
DECISIONS: Michael Noonan and Enda Kenny have a big role to play in convincing 27 governments to make the technical amendment to the Troika deal

Tampering with the tax system is a dangerous exercise that requires understanding and dexterity.

  • Go To

Two aspects of the Irish income tax system grate with most workers. The first is that they reach the top rate of income tax at such a low income threshold. The second is that many, if not most employees, consider the introduction of Universal Social Charge (USC) as unfair and an imposition that robbed them of their disposable income. This in turn has caused havoc in the retail industry as people literally stopped spending and devoted spare cash to mortgages and paying down debt.

Now, as the good news seeps through and tax cuts of some sort or other have been flagged for hard pressed workers, the government is faced with the dilema of how it can meet the expectations of workers, while at the same time keeping its fiscal targets on track.

Please sign in or register with Independent.ie for free access to Opinions.

Sign In

Read More

Don't Miss

Editor's Choice