Eric J. Byrne
Question:45 Mr. E. Byrne asked the Minister for Finance the increases, if any, due to a person (details supplied) in Dublin as a result of his 1997 Budget Statement. [4747/97]
Written Answers. - Tax Reliefs.
I am informed by the Revenue Commissioners that the taxpayer will be entitled to increased tax-free allowances in 1997-98 as a result of the tax changes announced in the budget. The amount of the increase in this case is £500. However, information available to the commissioners indicates that the invalidity pension which the taxpayer receives from the Department of Social Welfare, and which is taxable, will be greater than his tax-free allowances. As a consequence, the full amount of the pension which he receives from his former employer will be liable to income tax. The tax rate which will apply will be 26 per cent as announced in the budget, i.e. 1 per cent lower than the current standard rate of 27 per cent.