Noonan’s pro-business offer serves a purpose
Finance Minister Michael Noonan will start the process of eliminating an inequality in our taxation system in next week’s Budget 2016.
Business groups have long claimed the tax system discriminates against self-employed people. The disparity arises because the self-employed cannot claim the PAYE tax credit of €1,650. This effectively means that a self-employed person is paying €32 a week more in tax than an employee.
Of course, the PAYE and self-employed taxation systems are not directly comparable, and the benefits they receive when they lose their jobs also vary substantially.