Dáil Éireann díospóireacht -
Tuesday, 25 Feb 1992

Vol. 416 No. 2

Written Answers. - Income Tax System.

Ruairí Quinn

Ceist:

72 Mr. Quinn asked the Minister for Finance if he will give details of (1) the standard rate of tax band, (2) the level of personal allowances and (3) the PAYE allowances, if (a) a top rate of income tax of 60 per cent and a standard rate of 30 per cent and (b) a top rate of income tax of 60 per cent and a standard rate of 27 per cent, were in force for the 1992-93 tax year and the savings to the Exchequer were distributed to index for inflation the value of personal and PAYE allowances at the level introduced in the 1986 budget with the balance of the savings applied to increase the standard rate tax band in addition to the proposed level announced in this year's budget, and if he will make a statement on the matter.

Minister for Finance (Mr. B. Ahern)

Assuming the prior enactment of the 1992 budget income tax reliefs, it is estimated that the changes to the income tax system mentioned by the Deputy would enable the standard rate tax band to be extended to, (a) £11,000 for a single person and £22,000 for a married couple and (b) £8,400 for a single person and £16,800 for a married couple. These figures take into account what the personal and PAYE allowances would be if indexed at their budget 1986 values, as follows:

Allowance	Current real values
	£
Married	4,864
Single	2,432
PAYE	851