I am advised by the Revenue Commissioners that the full year yield, estimated by reference to 2013 incomes, of increasing the universal social charge by either 1 percentage point, 2 percentage points or 3 percentage points for all income earners with incomes in excess of €90,000 is set out in the table below:
Rate increase
|
Full Year Yield From PAYE Income Earners earning in excess of €90,000
|
Full Year Yield From Non-PAYE Income Earners earning in excess of €90,000
|
1%
|
€28 million
|
€46 million
|
2%
|
€56 million
|
€93 million
|
3%
|
€85 million
|
€139 million
|
The Universal Social Charge is an individualised charge and as such, the estimate of yield is based on individual incomes of more than €90,000.
The estimated yield is based on confining the extension of the new Universal Social Charge rates to the portion of income which is in excess of €90,000, that is, the increase is not applied to the portion of total income earned up to €90,000.
This estimate is derived from the Revenue tax-forecasting model using actual data for the year 2010 adjusted as necessary for income and employment trends in the interim. It is, therefore, provisional and likely to be revised.