Dáil Éireann Debate, Thursday - 5 October 2023
106. Deputy Brendan Griffin asked the Minister for Finance the total USC income collected by the State for each year since its introduction; if he will provide a breakdown, per annum, of the rates and amounts collected in each rate category; if he will provide details of the percentage of overall income tax collected that the USC has represented each year; and if he will make a statement on the matter. [43055/23]
View answerThe Universal Social Charge (USC) was designed and incorporated into the Irish taxation system in 2011 to replace the Health and Income Levies. Its primary purpose was to widen the tax base and to provide a steady income to the Exchequer to provide funding for public services. The USC is an individualised tax, meaning that a person’s liability to the tax is determined on the basis of a person’s own individual income and personal circumstances. It is a more sustainable charge than those it replaced and is applied at a low rate on a wide base.
I have been advised by Revenue that the breakdown per annum of USC receipts are provided below, along with the percentage of total income tax (including USC) that this represented.
|
Year |
USC €m |
% of Total IT (incl. USC) |
|
2022 |
4,895 |
15.9% |
|
2021 |
4,367 |
16.3% |
|
2020 |
3,832 |
16.9% |
|
2019 |
3,797 |
16.6% |
|
2018 |
3,738 |
17.6% |
|
2017 |
3,724 |
18.6% |
|
2016 |
3,968 |
20.7% |
|
2015 |
4,174 |
22.8% |
|
2014 |
3,647 |
21.3% |
|
2013 |
3,930 |
24.9% |
|
2012 |
3,790 |
25.0% |
|
2011 |
3,114 |
22.5% |
I am further advised by Revenue that USC receipts are not collected according to rates of USC, as the tax is not remitted to Revenue in this way. However, income tax returns and payslip data do provide a breakdown of USC liabilities by USC rate. Accordingly, the tables below provide the breakdown of the amount of USC liabilities that arose at each rate of USC for each year 2012 to 2021 (the latest year for which complete tax returns data is currently available for analysis). Data on 2011 is not available as the liabilities by rate of USC is not recorded in the available data for analysis. The totals for USC receipts and USC liabilities are correlated however differences in the annual totals arise due to several factors including the timing of payments.
|
USC Rate |
Liability €m |
||
|
2021 |
2020 |
2019 |
|
|
0.50% |
134.4 |
129.6 |
136.1 |
|
2% |
410.3 |
384.2 |
379.7 |
|
4.50% |
1,929.4 |
1,822.5 |
1,858.1 |
|
8% |
1,696.2 |
1,425.7 |
1,349.7 |
|
Surcharge 3% |
80.8 |
66.8 |
70.6 |
|
Total |
4,251.1 |
3,828.8 |
3,794.2 |
|
USC Rate |
Liability €m |
|
2018 |
|
|
0.50% |
127.3 |
|
2% |
337.8 |
|
4.75% |
1,829.5 |
|
8% |
1,189.9 |
|
Surcharge 3% |
64.9 |
|
Total |
3,549.4 |
|
USC Rate |
Liability €m |
|
2017 |
|
|
0.50% |
122.0 |
|
2.5% |
380.6 |
|
5% |
1,830.8 |
|
8% |
1,076.3 |
|
Surcharge 3% |
60.5 |
|
Total |
3,470.2 |
|
USC Rate |
Liability €m |
|
2016 |
|
|
1% |
234.1 |
|
3% |
431.0 |
|
5.5% |
1,913.7 |
|
8% |
975.6 |
|
Surcharge 3% |
58.8 |
|
Total |
3,613.2 |
|
USC Rate |
Liability €m |
|
2015 |
|
|
1.5% |
338.9 |
|
3.5% |
417.6 |
|
7% |
2,386.8 |
|
8% |
989.2 |
|
Surcharge 3% |
87.7 |
|
Total |
4,220.2 |
|
USC Rate |
Liability €m |
||
|
2014 |
2013 |
2012 |
|
|
2% |
380.8 |
366.7 |
360.5 |
|
4% |
520.3 |
495.8 |
505.8 |
|
7% |
3,092.1 |
2,958.1 |
2,879.8 |
|
Surcharge 3% |
48.9 |
51.0 |
54.2 |
|
Total |
4,042.1 |
3,871.6 |
3,800.3 |
