Dáil Éireann Debate, Wednesday - 5 October 2022
114. Deputy Ged Nash asked the Minister for Finance if he will outline all of the taxation measures announced in Budget 2023 that form part of the 2022 cost of living package and the one-off cost of each in tabular form; and if he will make a statement on the matter. [49025/22]
Amharc ar fhreagraThe Government is acutely aware of the cost pressures facing households and firms, especially the increase in fuel and other energy prices. Government has acted swiftly, and frequently, to address the cost of living challenge.
Of course, the drivers of the inflationary environment are primarily global in their nature, and are outside the ability of any one Government to offset in their entirety. At the same time, I absolutely recognise the reality that many of our people are still struggling with rising costs.
That is why Budget 2023 is a ‘Cost of Living’ Budget, built around further interventions aimed at reducing the impact of inflation.
Budget 2023 includes an overall package of €6.9 billion for next year, including adjustments to income tax bands and increases in social welfare and pension rates.
Complementing this is a set of one-off measures amounting to €4.1 billion, which take effect from the final quarter of this year. The one-off package includes approximately €0.5 billion in tax measures which are set out below in more detail.
This approach balances the need to provide necessary fiscal support to households and firms while, at the same time, avoiding a situation in which the Government’s fiscal response becomes part of the inflation problem.
|
- |
€m |
|
Extension of excise reduction on petrol, diesel and Marked Gas Oil to end-February 2023 |
281 |
|
Extension of 9% VAT rate for gas and electricity to end-February 2023 |
45 |
|
Rent tax credit that is claimable in respect of rent paid in 2022 |
200 |
