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Universal Social Charge Yield

Dáil Éireann Debate, Tuesday - 5 November 2013

Tuesday, 5 November 2013

Questions (241, 242)

Róisín Shortall

Question:

241. Deputy Róisín Shortall asked the Minister for Finance his estimate of the yield to the Exchequer in terms of additional universal social charge revenue arising from the budget 2014 decision to revoke medical cards awarded on the basis of returning to work having been long-term unemployed. [47105/13]

View answer

Róisín Shortall

Question:

242. Deputy Róisín Shortall asked the Minister for Finance his estimate of the number of persons brought into the standard rate of universal social charge arising from the budget 2014 decision to revoke medical cards awarded on the basis of returning to work having been long-term unemployed. [47106/13]

View answer

Written answers

I propose to take Questions Nos. 241 and 242 together.

The position is that there is no general exemption from Universal Social Charge (USC) for individuals in possession of a full medical card. However, the maximum rate of USC charged for individuals who hold full medical cards and whose income does not exceed €60,000 is 4%. This applies in place of the normal 7% rate of USC that is charged on income exceeding €16,016.

I am advised by the Revenue Commissioners that as medical cardholders are not generally separately identified on tax records there is no statistical basis on which an estimate could be compiled of the yield to the Exchequer from any additional universal social charge that might arise from the revoking of medical cards on returning to work after long-term unemployment.

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