Dáil Éireann Debate, Tuesday - 22 October 2019
160. Deputy Willie Penrose asked the Minister for Finance the tax exemption available to a single person under 25 years of age; the income a person can earn which is totally exempt from tax as a single person; and if he will make a statement on the matter. [43614/19]
Amharc ar fhreagraThere are no income tax credits or exemptions that are specifically ring-fenced to single people who are under 25 years of age.
However, depending on their circumstances, they are likely able to benefit from a number of income tax credits and exemptions that are generally available. For example, it is likely that they would be entitled to the Personal Tax Credit of €1,650 and could either qualify for the Employee Tax Credit of €1,650 or the Earned Income Credit which will be €1,500 from 1 January 2020.
As a result, an individual who is an employee can earn up to €16,500 before paying income tax at 20%, while an individual who is self-employed can earn up to €15,750.
Depending on their individual personal circumstances, they may also be able to avail of a number of additional credits and exemptions which would further reduce the amount of income tax they would have to pay. For example, the Single Person Child Carer Tax Credit is a tax credit of €1,650, which is available to a single parent (whether widowed, separated, deserted or a single parent) with a qualifying dependent child. The Blind Person’s Tax Credit is a tax credit of €1,650 is available to individuals who have impaired vision. There is also a reduced rate of USC that is available to medical card holders with total annual income of less than €60,000.
In addition to the above, income tax relief is generally available for pension contributions, third-level fees and certain health expenses. Details of all personal tax credits, reliefs and exemptions that are available are listed on the Revenue website at the following link; https://www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/index.aspx.
