Brian Cowen
Ceist:74 Mr. Cowen asked the Minister for Finance the reason for the reduction in a tax free allowance of a person (details supplied) in County Offaly.
Vol. 399 No. 7
74 Mr. Cowen asked the Minister for Finance the reason for the reduction in a tax free allowance of a person (details supplied) in County Offaly.
I have been advised by the Revenue Commissioners that the taxpayer is in receipt of a pension from the Department of Social Welfare. As the social welfare pension is paid in full without deduction of income tax the tax attributable to it is collected under PAYE by restriction of her allowances by the estimated amount of that pension in the current year. The tax-free allowances for the current year have been reduced in line with the estimated increase in the social welfare pension. A reduction of £40 has also been made in the amount of tax relief allowable for life assurance in line with changes in the 1990 budget.