Budget Summary 2015

Minister for Finance, Michael Noonan, and Minister for Public Expenditure & Reform, Brendan Howlin delivered their 4th Budget, in which they laid out a number of measures aimed at securing “a new economy for Ireland”.

Here is a summary of some key points for the life & pensions industry.

  • The much talked about Pension fund levy will be 0.15% in 2015 and will
    expire at the end of 2015.
  • Exit tax rates – the rate of exit tax that applies on life assurance
    policies and investment funds is being maintained at 41% for 2015. (where the
    life policy is owned by a company the exit tax is 25%)
  • Deposit Interest Retention Tax (DIRT) – the rate of DIRT is being
    maintained at 41% for 2015.
  • Capital Acquisitions Tax (CAT) – the current rate of 33% is being
    maintained. The current group tax free thresholds remain unchanged.
  • Capital Gains Tax (CGT) – the current rate of 33% is being maintained.

Other Key Measures Announced in Budget 2015.

  • An increase in the Standard rate band of income tax by €1,000 from
    €32,800 to €33,800 for single individuals and from €41,800 to €42,800 for
    married one earner couples.
  • A reduction of 1% of the higher rate of tax from 41% to 40%.
  • Changes in the USC rate were announced
  • incomes of €12,012 or less are exempt/
  • €0 to €12,012 @1.5%/
  • €12,013 to €17,576 @ 3.5%/
  • €17,577 to €70,044 @ 7.0%/
  • €70,045 to €100,000 @8%/
  • The rate of corporation tax remains at 12.50%.
  • Child benefit will be increased by €5 per month in 2015.
  • Tax relief at 20% will be provided on water charges up to a maximum of
    €500 per year.

End.

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>