Tuesday 20 March 2018

Taxpayers favour increasing income tax bands in budget – poll

Barry Flanagan, senior tax manager with Taxback.com
Barry Flanagan, senior tax manager with Taxback.com
Ellie Donnelly

Ellie Donnelly

Widening the income tax bands and increasing the State pension have come out on top in a poll carried out to gauge what taxpayers want to see in October’s budget.

The poll of 500 people, which was carried out by Taxback.com, found that the three income tax priorities for tax payers were widening the income tax band so that a person can earn an additional €1,000 and be taxed at the basic rate rather than the higher rate, which was favoured by 37pc of those surveyed.

This was followed by reducing the universal social charge to 4pc, which was favoured by one in five people surveyed.

Meanwhile abolishing the lowest universal social charge rate of 0.5pc on income of up to €12k was favoured by 15pc of those surveyed.

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In terms of the top three social protection or pension priorities for tax payers, two in five people surveyed said that they favoured an increase in the State pension.

A quarter of those surveyed said that they wanted to see child benefit increased, while 16pc said that they wanted to see an increase weekly social welfare payment exclusively for people with disabilities and carers.

Commenting on the survey results, Barry Flanagan, senior tax manager with Taxback.com, said that the next few weeks would be likely to tell a lot in terms of what way the Taoiseach is leaning when it comes to budget changes,

"Given that just last week Finance Minister Paschal Donohoe warned his fellow ministers to "dial down" their expectations for the forthcoming budget, we really hope the 46pc [of those surveyed] who say they are expecting more are not disappointed," Mr Flanagan said.

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