Ask the experts

All your Budget 2016 questions answered

Dominic Coyle (IT), Fiona Reddan (IT), Marie Flynn (PwC), Lisa Conlan (PwC) Tue, Oct 13
 
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  • 09:01

    Not sure what Budget 2016 means for you? Our in-house advisers Dominic Coyle and Fiona Reddan along with PWC tax experts Marie Flynn and Lisa Conlon are answering your Budget 2016 questions now.

    Submit your questions here, our team is at the ready


  • 09:10

    Does the 280k threshold apply to family homes only? What about other houses?

    The threshold is not specific to a family home. It applies to any assets that are transferred between a parent and a child.

  • 09:15

    Is there new paternity leave to be introduced and when will this come into effect?

    Yes two weeks paternity leave is to be introduced from September 2016. It will be paid at the same rate as maternity benefit, ie €230 a week.

  • 09:17

    I have read that there will now be a 12c charge per transaction on a debit/credit card replacing the €5 stamp duty.

    Yes correct. However, the ATM withdrawal fee will be capped at €2.50/€5 per annum (ATM & combined ATM debit cards respectively) per card.

  • 09:18

    The Pension Levy to be abolished in 2016 - does that refer to the pension levy paid by public servants in their weekly PAYE salaries?

    No, the measure announced by the Minister refers to the levy on private sector pension funds which was introduced in 2011 and amended in 2014. He had said previously it would not extend beyond 2015 and has now delivered on that. The public sector pension levy remains in place.

  • 09:21

    Is there a date yet from when the new inheritance tax provisions will take effect?

    The increase in the group A threshold from €225k to €280k, which applies mainly to gifts from parents to their children, will apply to gifts or inheritances received on or after today.

  • 09:23

    Is relief expected for awarding shares to employees or share incentive schemes for start up companies?

    Whilst this is an area which was identified pre-budget as a possible change, nothing was mentioned yesterday, in either the Minister's speech or in the budget documentation, about the introduction of a new share award scheme or about changes to any existing schemes.

  • 09:24

    What date does the reduction in CGT start from?

    The reduced rate of 20% for entrepreneurs comes into effect from January 1st 2016.

  • 09:32

    Will the budget changes mean any reduction in USC for those earning over €150,000?

    In short, yes. However, the reduced rate will apply to income up to €70,044 only and therefore the reduction in USC of €900 per annum will be the same for someone earning €70k as it would be for someone earning in excess of €150k.

  • 09:42

    I have a 3 year old in pre-school now, which I pay for. Will she be entitled to the free year from now or January when the next entry point comes round?
     

    In his speech, Minister Howlin said the new expanded free childcare provision was being put in place as of now. However, it is not clear whether people eligible and already paying for childcare will benefit immediately or in the January window. We hope to clarify this today and report on it on the website and in tomorrow's paper.

  • 09:44

    As a self-employed translator just returned to Ireland,
    does this €13,000   entry point for USC refer to net earnings, or earning before expenses in 2015, or as of 2016?

    The new €13,000 entry point refers to Universal Social Charge (USC) liability in 2016. It will apply on gross income, as at present.

     

  • 09:44

     Will the VAT refund for home renovations be retained?
     

    Yes, the Home Renovation Incentive has been extended until 31 December 2016.

  • 09:49
    I currently earn €65,000 and am wondering what the implications are re increased take home pay on the basis of the USC changes. I have two children (5, 2) and my wife earns circa €55,000 - we are assessed individually for tax.

    As the tax position of every individual and family is more or less unique, I would suggest the best way to get an accurate read on the changes to your take home pay is to work through the PwC Budget calculator which can be found at http://www.pwc.ie/campaigns...

    You might also note the other benefits announced for families such as yours e.g. additional child benefit of €60 per year per child, the additional year of free pre-school care and extended access to free GP care for children aged 6-12.
  • 09:51
    We are expecting a baby next June & my wife will be returning to work in Jan 2017. Will I be able to take 2 weeks paternity leave then? Does paternity leave have to be taken right after birth what exactly is the detail?
     

    Paternity leave will be introduced for babies born from September 1st 2016. It will be paid at a rate of €230 a week, and fathers will be able to take the two-week leave any time in the 28 weeks following the birth
  • 09:53
    Any change on CGT at 33%?

    No change to the headline rate of CGT of 33%.   However, a 20% rate for entrepreneurs has been introduced for the first €1m of lifetime gains made on the disposal of the whole or part of a business.
  • 09:54
    I am self employed but I have no idea what the new "earned Income tax credit" actually is/means.   Does this mean that I have the same rights to social welfare/pension entitlements as PAYE workers?  

    No. The earned income credit is an attempt to close the gap with those working in the PAYE sector who enjoy a PAYE credit of €1,650.
  • 09:55
    Please advise if the €65,000 min AMRF or €12,700 p/a requirement remains unchanged?

    No changes were announced in relation to pensions other than the abolition of the pension levy from 1 January 2016.
  • 09:56
    How will the new rate of CGT apply. If a business is sold for say €2m will the new 20%   CGT rate apply to the first million and the old CGT rate of 33% apply to the balance?

    There is currently no detailed guidance in relation to what criteria need to be fulfilled in order to qualify for the relief or how the relief will be applied.   However, the UK currently have an "entrepreneurs relief" which is likely to be similar and based on the rules for the UK equivalent relief, the first €1m of lifetime gains on qualifying disposals would be taxed at 20%, with the balance being subject to 33%
  • 09:58
    I am a single childless PAYE worker with a mortgage and contribute to a private pension earning €79K. I don't have a commercial vehicle, I am not a carer, I have no prospect of inheriting €250K much less €280K etc. Is it accurate that I will continue to pay the same rate of USC (8%) as someone earning 5 times what I do?

    You will continue to pay USC at 8 per cent on that portion of your income above the €70,044 threshold. However, you will see a reduction of around €900 annually in your overall USC bill because the Minister has changed the 7%, 3.5% and 1.5% rates to 5.5%, 3% and 1%.
  • 09:59
    Two questions:   Will the free GP care apply to children who are currently aged 12 or only those under the age of 12?

    Has there been any change to the Drug Payment Scheme threshold?


    The proposed expansion of Free GP care applies to children under the age of 12 - i.e. up to their 12th birthday. On your second question, no mention was made in the Budget of the drug payment scheme
  • 10:01
    Any change in social welfare payments or sick payments?

    The only changes announced by the Ministers in the area of welfare yesterday were a €3 increase in State pensions and restoration of the Respite Carer's Grant. There is, of course, the €5 increase in child benefit and adjustments to the Family Income Supplement but no changes to payments for illness or injury.
  • 10:02
    Re Earned Income Tax Credit: Would rental income (i.e. "unearned" income) qualify for the EITC providing it is the only source of income?

    The Earned Income Credit seems to apply only to taxpayers earning self employed trading or professional income and to busines owners/managers who are ineligible for the a PAYE credit on salary income.   On this basis the EIC does not seem to be available for unearned income, e.g. rental income.
  • 10:02
    Have public service pensions been increased? No
  • 10:04
    CGT: Could you clarify what the new rate is?

    A reduced rate of 20% will apply for entrepeneurs for the disposal in whole or in part of a business up to a limit of €1m in chargeable gains
  • 10:05

    My child was 3 in August and was not eligible for ECCE this year, but would be next September 2016. Can we now enrol her for the free additional period immediately taking her all the way up to school going age?

    We have clarified this morning that the new free pre-school regime under which children are eligible from the age of 3 until 5½ , or when the child enters primary school will only come into effect from the start of the next school year - i.e. September 2016.

    After that, parents will be able to enrol their children in September, January or April of any year. The 11 month lag before itis introduced is bound to upset many parents for whom childcare is a pressing issue.

  • 10:07
    VAT on home construction projects: Is the initiative where homeowners can claim back the VAT on works done in the home extended past 31/12/2015?

    Yes, it was previously announced that the home renovation incentive scheme is being extended until December 31st, 2016
  • 10:08
    I'm 41, Single, a Renter, with no children, on €70,000 per Year. What has this budget done for people like me who work 70hrs a week to pay for the parasites on the dole and civil servants who do nothing for their fat salaries. I will definitely not be voting for this Government.

    Leaving aside your views on people less fortunate than you or those working in other sectors, the Budget will leave you around €900 better off a year thanks to the changes in USC rates.
  • 10:10
    Do people pay USC on earnings over €12012 only or do they pay it also on earnings up to €12012. And at the other end of the scale what happens to USC if a person earns over the new €70,000 ceiling for the 5.5 rate?

    If your income is less than €13k then you will be exempt from USC but if your income exceeds €13k the first 1% of income up to €12,012 will be liable to 1% and the next €6,656 is liable to 3%.
  • 10:12
    Was Dirt changed? No, there was no change made to DIRT.
  • 10:13

    When does the extention to the Ecce year kick in? Is it from Jan or some later stage in 2016? My daughter turns 3 in Jan?

    September 2016 apparently, having clarified it this morning with the department

  • 10:14
    On exit tax for unit linked funds, ETF's or investment funds, the current rate is 41% is there any chance this will change and when will we know? I really think this tax is very unfair as you take a significant risk with the investment, yet it's treated the same as DIRT.

    While the top rate of income tax fell last year from 41% to 40% there has been no indication as of yet that the rate of DIRT on investment funds will also fall in line with this move.
  • 10:15

    My son is four and a half and   had his ECCE last year and has started another year of Montessori with fees. Will we be eligible for free Montessori this year?

    No, apparently not. The extended free pre-school care kicks in only in September 20126 - i.e. from the start of the next school year.
  • 10:16
    I worked 20 years in UK and receive a state pension from there and also get Irish State Pension. Because of this I am classed as self-employed. Will my UK pension be taxed the same as pre-budget?

    If you are currently taxed as a "self employed" person because your UK pension is not subject to PAYE, you currently would not be entitled to the PAYE credit. The introduction of the earned income credit (EIC) is being introduced to align the tax paid by the self employed/business owners with that of PAYE workers.   The guidance published yesterday states that the EIC will be given to those earning self employed trading or professional income and to business owners who don't qualify for the PAYE credit. There is currently no mention of any other types of income which might qualify. On this basis it currently looks as if you be in the same position post budget.
  • 10:17
    Is the pension increase €3 pw on the payment of €230 or is there an additional €3 pw paid to the Dependant Spouse payment of €202 pw?

    The figures published by the Department of Social Protection indicate that there is a €3 increase in the State pension AND a €3 increase in the dependent adult allowance
  • 10:18

    Has the Home Renovation Incentive scheme been extended or does it finish at the end of 2015?

    Yes, the home renovation incentive scheme has been extended until December 31st 2016

  • 10:19

    Did he [Noonan] make no changes to the ARF situation?

    No changes were announced in relaiton to ARFs.

  • 10:21
    What is the rate of USC over €70k and is there any change?

    The rate of USC on income in excess of €70,044 remains at 8% - no change.
  • 10:22
    Re the Capital Acquisitions Tax tax-free threshold, which covers the transfer of properties between parents and their children, rises from €225,000 to €280,000. My question is, does this apply to any property transfer, or just the family home?
     
    The measure announced by the Minister yesterday did not restrict the benefit of the new Category A threshold only to transfer of the family home, so it appears to cover all asset transfers from parents to children (and other less common Category A situations).
  • 10:23
    Has the HRI scheme been extended for another year?

    Yes, ahead of the Budget, the home renovation incentive scheme had been extended until December 31st 2016
  • 10:24
    I currently earn €60,0000 per year before tax, what will b the difference to me?

    The reduction in the USC rates will provide you with a benefit of approx €900 per annum.   If you don't currently qualify for the PAYE credit you may also be entitled to €550 of an earned income credit if you are earning self employed trading/professional income or are a business owner/manager.
  • 10:35
    If I use the ATM to check the balance in my account will I be charged 12c or is it only for withdrawing money? If I do a lodgement am I charged?

    The new stamp duty charge will apply to withdrawals only.
  • 10:36

    Slightly confused about the free childcare for 3 to 5's. Is it free childcare or an extra pre school year?

    It is an additional free pre-school year

  • 10:38
    I'm a full-time carer for my Dad which I recieve €204 weekly. I also work 10 hrs a week which I'm paid €10 per hr. I pay €1.50 USC. Will the USC be reduced? And if so by how much.  

    The carer's allowance is a social welfare payment and, thus, is exempt from USC. That means only your part-time work is taken into account in determining liability to USC., If you are working 10 hours a week, at €10 an hour, your maximum annual earnings are €5,200. That is way below the current €12,012 threshold under which people pay no USC, never mind the new, higher threshold of €13,000 for 2016. Unless you have other sources of income, you should not be paying USC and you should immediately apply for a refund.
  • 10:40
    Any changes to drugs refund scheme?

    No mention was made in the Budget of the Drug Refund Scheme so the assumption - pending any Finance Bill additional measures - is that there is no change to the current regime
  • 10:40
    Is there anything in this Budget to encourage 'accidental' landlords?

    Apart from a reduction in USC on earnings under €70,000, and the postponing of the revaluation of property tax until 2019, there were no specific measures in the Budget to help landlords.
  • 10:42
    Will the employer pay for the new parental leave for the father and how much will it be?

    No, paternity leave will be a statutory payment and will be paid at the same rate as maternity leave, ie €230 a week
  • 10:42
    When will inheritance tax changes come into effect?

    The increase in the threshold to €280,000 will apply in respect of gifts or inheritances received on or after today, October 14th
  • 10:42
    I am to inherit €35,000 from a deceased Aunt, has the capital gains tax, changed on this?

    No, the increase in the CAT exemption only applies to those in "group a" ie transfers between parents and children.
  • 10:43
    I live in Laos but pay tax in ireland. Are my dividends on irish shares tax free ?

    If you are tax resident in Ireland, you will be liable to tax on your share dividends. No change on that issue in the Budget.
  • 10:45

    I own an SME business which last year turned over €1.9 million. This year we are heading for over €2 million. The limit for paying VAT on a cash receipts basis was set at €2 million last year. Has this been revised this year? The reason I ask is because my business provides services for the property sector and it is not unusual to have to wait 6 months to be paid. If I have to pay VAT on my invoices issued it would bury me from a cash-flow point of view.

    Unfortunately, there were no changes to VAT announced  this year therefore  if your turnover does exceed €2,000,000 in any continuous period of 12 months, then you will no longer qualify for the cash basis.

    This is assuming less than 90% of your supplies of goods or services are made to unregistered persons or to persons who are not entitled to claim a full deduction of VAT chargeable on the supply to them.

  • 10:47
    I am a separated single parent with 2 children ( 11 & 14).   I receive children allowance & lone parent allowance.   My basic salary is €110,000 .   I receive no maintenance for children.   I travel 3 days a week abroad.

    Do I still receive entitlement for travel eg Paris overnight allowance is @ 272 per diem and What will be the impact of the tax ( USC) changes for me?

    I am not aware of any changes ot the expenses regime. On USC,m you will be better off to the tune of €902.20 as far as I can see. The reduced lower rates of USC means your USC liability on income of €110,000 will be €6,341.96 next year compared to €7,244.16 this year.
  • 10:48
    Does CGT reduction apply to profit on sale of residential investment property.

    Unlikely! The new lower rate will apply to the sale of a business or part of a business. We will need to wait until the Finance Bill is published to understand full details of the type of business that would qualify.  

  • 10:48
    Can you explain the PRSI changes?

    The PRSI changes were introduced mainly to counter any negative impact of increasing the minimum wage. As such, a tapered PRSI credit has been introduced so that low income earners will actually see the benefit of the increased minimum wage rather than paying additional PRSI due to their higher earnings. The government also increased the entry point to the top rate of Employer PRSI of 10.75 per cent by €20 per week to €376 per week so as to decrease the impact of this wage change on employers.
  • 10:48
    My little girl was 3 in July so missed out on the free preschool year for Sept 2015. When will she be able to join the extended scheme - Jan 2016 or will it be Sept 2016 (which would be no additional benefit)?

    As we have clarified with the Department this morning the scheme won't be extended until September 2016.
  • 10:49

    What does "business assets" mean in the context of the CGT reduction?

    There is currently no indiciation in the guidance notes of what "business assets" means but the expectation is that it could mean shares in a trading company or assets used in a trading business.   There may also be a minimum holding requirement for the shares, for example, 5%.   More will be known when the Finance Bill is issued.

  • 10:52
    When does the increase in the Group A inheritance tax threshold come into effect?

    The increase in the threshold to €280,000 will apply in respect of gifts or inheritances received on or after today, October 14th
  • 10:52
    when will additional pre school Montessori start? My child is 3 next week, can she start Montessori straight away under extended scheme?

    Good morning, the ECCE scheme won't be extended until September 2016, which means that she will have to wait until then to enrol. After September 2016 enrolments can also take place in January and April of any year.

  • 10:52
    What/How is the PRSI calculated for a self employed single person?

    There are no changes to PRSI for self employed people. Assuming you have self employed income of over €5,000 and you are aged between 16 and 66, you will still pay Class S PRSI of 4% on all your income for tax purposes, that is, gross income less allowable expenses. You must pay 4% of all your income or €500, whichever is greater. The good news for self employed taxpayers this year is that the Minister has announced a tax credit of €550 which will go straight to your bottom line.

  • 10:52
    If I earn 70k next year, how much extra will I see take home for the year from the usc changes?

     Good morning, based on the information you have given, you will be better off by €75 a month, or €902 a year due to the changes to USC.
  • 10:55

    With the new paternity leave for fathers what age can the child be when they take this two weeks pls? Is this statutory for all employers? and has maternity leave changed in any way?    

    Statutory paternity leave will be introduced for all babies born from September 1st 2016 at a rate of €230 a week. Fathers will be entitled to take the leave within 28 weeks of the birth. No changes to maternity leave were announced
  • 10:55
    Any change in 4% PRSI on rental income?

    No Budget 2016 signalled no change to PRSI on rental income
  • 10:55

    When will the ECCE scheme be extended to 3-year-olds?

    It will be extended to three year olds from September 2016.

  • 10:55
    When does the new Capital Acquisitions Tax kick in ?

    The increase in the threshold to €280,000 will apply in respect of gifts or inheritances received on or after today, October 14th
  • 10:59

    Can you tell me when the extension of the free pre school year will kick in? September 2016 is too late. We've been waiting so long for this.


    Yes, you are correct, the scheme will be extended from September 2016

  • 10:59
    Will a person who is self-employed, and who supplements their income with a part-time employment, qualify for both the €550 s/e tax credit and the employee tax credit of €1,650?

    The guidance on this point states that where an indivdual is entitled to both the PAYE credit and the Earned Income credit that the maximum credit available is the €1650.
  • 10:59
    Will the changes in the ECCE scheme benefit us? Our daughter is turning 3 next month & our son is 18 months. We both work & pay a childminder & playschool.

    Yes, your son will be entitled to enrol in the scheme once he turns three up until he is 5 and a half or he starts primary school, whichever is earliest. He will be able to enrol in January, April or September, whichever is closest to his birthday, and you will get full benefit of the scheme. It seems at this point that you will have to wait until September 2016 to enrol your daughter in the scheme.
  • 10:59
    I am on a salary of €23,000. How much will my monthly take home pay be increased by with the development in USC?

    Based on the information you have given, you should see your take-home pay increase by €16 a month or €197 a year
  • 11:00

    My husband and I are married three years now but are still assessed as individuals for tax. Do we need to inform revenue that we are married and what does this mean in terms of the amount of tax we pay?

    Depending on your earnings you may find it preferential to be treated as a married couple for tax purposes. You can use PwC's tax calculator (http://www.irishtimes.com/b...) to work out the permutations.
  • 11:00
    Is there any change to VAT on construction of student accommodation?

    While this particular tax break was called for by many  in the lead-up to Budget 2016, I can confirm that no changes were made to VAT in this year's budget  
  • 11:01
    Is there any change to VAT on construction of student accommodation?

    While this particular tax break was called for by many  in the lead-up to Budget 2016, I can confirm that no changes were made to VAT in this year's budget
  • 11:02

    Presume that the Earned Income Tax Credit applies to company directors who earn a salary from their company?

    Yes, per the budget 2016 statement, the earned income credit can appy to business owners/managers who are ineligible for a PAYE credit on their salary income

  • 11:02

    What is the "Tapered PRSI Credit" for Low Earners, mentioned in the Budget and how is it calculated?


    The tapered PRSI credit has been introduced to minimise the step impact of someone earning €50

  • 11:04

    My child is 12, will she get free GP care or is it under 12s only? Has there been any change to the Drug Payment Scheme threshold?  


    The extension of the free GP scheme applies to children up to the age of 12 - ie up to their 12th birthday. There were no changes to the Drugs Payment Scheme in yesterday's Budget.

  • 11:06
    I've just read in the Irish times that the 2 weeks of statutory paternity leave will be implemented from January next. I thought I heard yesterday that this would be efective from September next. Could you clarify?

    Good morning, according to the Department of Social Protection two-weeks paternity leave will be given to fathers of babies born from September 1st 2016. Fathers will have up to 28 weeks from the birth of the baby to take this leave.
  • 11:07
    Regarding the free pre school year for 3 to 5 and half year olds - what are the details on this - when will it be implemented etc?

    This has cropped up a lot. The key thing is that it will not come into force until the new school year - i.e. September 2016. At that point anyone between the ages of 3 and 5½ and not yet in primary school will be eligible. They will be able to take up their places in Septmber, January or April.

  • 11:08


    If I sell my investment rental property has the capital gains payment reduced?

    No. the reduction of capital gains tax to 20 per cent from 33 per cent relates only to the sale of business assets, not investment properties or other capital gain

     

  • 11:09
    I am a retired teacher. Will I no longer have to pay the pension levy?
     
    The pension levy to which the Minister referred yesterday is the levy on private sector pension funds and does not relate to any levy on public service pensions
  • 11:09
    My child is 4 years old and in pre-school. He availed of the free year last year, will he be eligible for another free year this year as he does not start school until Sept 2016

    The extension of the scheme does not commence until September 2016.

  • 11:50

    Is the new inheritance tax rate applicable from when the person dies or when probate is complete?

    The key date is the valuation date which is certainly before probate. If this falls after October 14th (today), then the new regime applies. You should consult your legal adviser in regards to valuation date issues.

  • 11:50

    Good morning and thank you for this service, My grandson aged 4 is in pre- school and his parents have already availed of the free year and are paying for his preschool this year. Is there any chance the government may introduce the new free preschool scheme in January next, thus freeing his financially stressed parents from the huge fees they are currently paying? The child will attend national school from next September.  


    As of now, no. We have clarified with the Department of Children and Youth Affairs that the extended free pre-scholol provision kicks in only form the start of the next school year - Septermber 2016. This issue has arisen a lot this morning and I am sure the start date will be a blow to many parents who had seen the Budget measure as a relief from considerable childcare expense. Is it possible that it will be amended. Sure, though the physical provision of places presents a problem.

  • 11:51

    My husband and I are both on PAYE but he also farms part time. Is there now a separate tax credit for the farming income?


    There is a new Earned Income Tax Credit being introduced for 2016 which will also apply to farming income. However it appears your husband already has income that qualifies for the PAYE Tax Credit. Therefore, you should note that his combined tax credits in respect of PAYE + Earned Income cannot exceed €1,650.

  • 11:51

    I am single lady working in the public sector earning 35k who has a medical card - how much will I be better off with the new USC changes?

    Based purely on the changes to USC, should be better off by €7 per week as per the PwC Budget calculator

  • 11:51

    Was Country by Country reporting brought in for Irish MNCs earning over €750m p.a.?


    The new proposals to introduce CbCR, if in accordance with the OECD standard, will require compliance by Irish parented multinational enterprises with consolidated revenue of €750 million or more. Further details to follow in the Finance Bill.

  • 11:52

    How better off will a couple both working with 1 earner €50,000 and 1 €6,000?


    The reduction in USC will mean that you pay €602 less in USC per annum.

  • 11:53

    Hi, we are an unmarried couple on middle incomes 30-40k each, we have two children. What are the benefits of the budget to us. We are hoping to marry soon, and also wondered what this difference would make in this instance.  

    Based on the changes to the USC, between you the reduction in USC will be around €750. If you both have income in excess of the standard rate tax threshold of €33,800 there would be no tax benefit of being married. However, if one of you has income below this threshold there may be a marginal tax benefit.

  • 11:53

    I have a 10% stake in the company I work for. We are about to close on the sale of the company and I am due to gain just over €1 million. Will the change to CGT apply to me and should we wait til January 2016 to officially close the deal?


    The date on which a capital gain arises is usually the date on which the contracts for sale are unconditionally agreed. If you have already signed the contracts in relation to the sale of your shares your capital gain may aleady have crystallised and therefore you would be liable to CGT at the rate of 33%. If the deal has not yet been finalised and you defer the sale date until 1 January 2016, you may qualify for the lower rate of 20% on the first €1m of the gain. However, the precise details of the relief are not yet known and you would need to review the criteria to see if you qualify. The detail should be in the Finance Bill which will be issued shortly.

  • 11:54

    Please advise if the €65,000 min AMRF or €12,700 p/a requirement remains unchanged?


    No changes were announced in relation to pensions other than the abolition of the pension levy from 1 January 2016.

  • 11:54

    Single adult on 35,000 per year what difference will usc cut make for my monthly wage?


    Your USC bill for this year is €1,594.60, or €132.88 a month. That will fall to €1,218.06 next year - €101.51 a month - so you will save just over €30 a month €375 a year.

  • 11:54

    Is the date of inheritance the date of death? And if so, for example, does this mean that children who inherited a family home on 1 Oct 2015 will have a tax free inheritance threshhold on the family home of 225K and children who inherit two weeks later, on 15 Oct 2015 (the day the new threshold comes into play) will have a new threshold of 280K?


    The important date for inheritance tax purposes is the Valuation Date (the date on which the market value of the property comprising the gift/inheritance is established). The Valuation Date can be the date of death in certain circumstances only. If the valuation date is considered to be 1 October 2015, then the child would not receive access to the increased group A threshold whereas the child who receives a family home on 15 October 2015 should benefit from the group A threshold (if applicable and assuming the this group threshold has not been previously utilized by the inidividual). Specific advice on this area should be obtained.

  • 11:55

    Is there any help for a young couple trying to save for a mortgage and how much do they have to have saved before they can get a mortgage?


    There was no mention in the budget of anything to help people save for a mortgage. However, a package of housing measures which was not agreed in time for yesterday's speeches, is likely to fetaure in the Finance Bill, which implements the budget measures. It might yet include something for people in your position.

  • 11:55

    Has the minister made any changes in respect of either the rates, date or the basis for reassessment of the Local Property Tax - currently November 2016 as I understand.


    No there have been no changes to the LPT although the Minister did say that he is making a recommendation for the revaluation date to be postponed from 2016 to 2019 which will ensure that home owners will not face any increase in 2017 or 2018 as a result of increasing property prices. A review of the LPT has been undertaken recently which contains 13 recommendations for changes and therefore further changes may be forthcoming in future.

  • 11:57
  • 12:18
    That's it, folks. This blog is now finished. Thanks for taking part.