Universal Social Charge Exemptions

Dáil Éireann Debate, Tuesday - 11 February 2014

Tuesday, 11 February 2014

Questions (172)

Marcella Corcoran Kennedy

Question:

172. Deputy Marcella Corcoran Kennedy asked the Minister for Finance the reason a person (details supplied) in County Offaly had to pay universal social charge on a forestry grant which was paid directly to the company that carried out the forestry work; if his attention has been drawn to the fact that they had been advised in writing by the Department of Agriculture, Food and the Marine that USC should not be charged on the forestry grant; and if he will make a statement on the matter. [6740/14]

Written answers

Minister for Finance

I am advised by the Revenue Commissioners that they inadvertently included a Forestry Establishment Grant when calculating the income of the person (details supplied).  Universal Social Charge (USC) was charged on this grant amount and they apologise for this error.

Universal Social Charge is payable only on the subsequent annual forest premium payments earned. However the person (details supplied) is exempt from USC being under the Income threshold. The Revenue Commissioners have arranged to refund all USC paid in 2012 and 2013 and they will write to the person explaining the correct position.