Dáil Éireann Debate, Wednesday - 16 January 2013
145. Deputy Terence Flanagan asked the Minister for Finance if he will clarify a query regarding the universal social charge in respect of a person (details supplied); and if he will make a statement on the matter. [1307/13]
View answerI am informed by the Revenue Commissioners that there appears to be no record of any contact from the person in question either by phone or correspondence in relation to this issue. However, I can confirm the following in relation to the Universal Social Charge (USC) liabilities of the person. Prior to 2013, the maximum rate of USC payable by individuals aged 70 years or over was 4%, irrespective of the level of their income, unless they had self-employment income in excess of €100,000 for a tax year, in which case the maximum rate was increased to 7% on the amount of income in excess of €100,000. The 2013 Budget amended the rates for USC from 2013 onwards. The position is that the standard rates of USC will now apply to those aged 70 and over who have aggregate income in excess of €60,000 per annum, which are as follows:
2% on the first €10,036
4% on next €5,980
7% on the balance.
The most recent information available to Revenue indicates that the aggregate income of the person in question exceeds €60,000 each year. This is exclusive of any income from the Department of Social Protection. The Tax Credit Certificate for 2013, which issued on 19 December 2012, correctly instructs the person’s pension providers that USC is to be charged at the above rates.
If the person’s aggregate income for 2013, exclusive of income from the Department of Social Protection, will be €60,000 or less he should contact Revenue, Fingal Tax District at ph: 01-8277042, to clarify the situation.
