As the country watched with baited breath for what was promised to be a more forgiving budget than the previous efforts, there has been some questions over how much these changes may change things on a personal and professional level. We have compiled some of the key points to note from Budget 2016 for your convenience.
- USC entry point raised to €13,000
- USC reductions:
- All USC bands lowered on earnings up to €70,044 per annum.
- Minimum Wage to be raised from €8.65 to €9.15.
- There will now be an additional €550 tax credit available to all owners of SME’s (Small and Medium Enterprises).
- Normal tax bands will remain unchanged.
- Child Benefit will increase by €5 per month, taking the total to €140 per child.
- State Pension to increase by €3 per week for pensioners and carers aged 66years and over.
- There is to be an increase in the Inheritance Tax Band relating to transfers from parents to children. The tax band will now stand at €280,000.
- Social Welfare Christmas Bonus restored to 75%.
- Cost of a packet of 20 cigarettes to increase by 50cent (including VAT).
- Free GP care for children is to be extended to all under 12’s.
- Fathers to be entitled to 2 weeks paid paternity leave as of September next year.
If you have any queries or concerns about how budget 2016 will affect your finances, please don’t hesitate to contact us at DCA Accountants.