INCOME tax changes announced in Budget 2023 that took effect today will help Limerick people deal with the cost of living crisis.
That’s according to Limerick Fine Gael Senator Maria Byrne who said that the €1.1 billion personal income tax package would allow people take home more of their hard-earned cash.
“It will also ensure that they pay the higher rate of tax at a later point and that those who are benefitting from the changes to the minimum wage are not negatively impacted by additional USC,” she explained.
“The key features of the changes will see the main personal tax credits increase by €75 from €1,700 to €1,775 and the standard rate cut-off point being increased by €3,200, going from €36,800 to €40,000 for single people and from €45,800 to €49,000 for couples with one earner.
“This means more people from Limerick will take home more of the money they earn and that more households are further protected from the rising cost of living and impact of inflation.
“An increase in the Home Carer Tax Credit of €100 also came into effect today, bringing it from €1,600 to €1700. This offers a greater level of support to parents who are caring for a child or dependent person at home.
“An increase of €1,625 to the two per cent USC rate band ceiling will also ensure that a full-time worker on the minimum wage, who benefits from the increase in the hourly rate from €10.50 to €11.30, will remain outside the highest rates of USC,” she explained.