Are TDs Salaries still Tax Free?

[Baron von Biffo]

I'm not a big fan of Leo Varadkar but to his credit he gives a full breakdown of his expenses and how he spent the amount claimed. Its on his web site Leo Varadkar TDs Expenses - how I spent mine !. in 2008 he claimed €34,671.80. I can accept the amount for Constituency office in fact €9k approx wouldnt go too far in the greater Dublin area. Its the other amounts that cause me concern 10K for travel and subsistance & 5k + for misc expenses. Now before all hell comes down on my head I am not getting at Leo, I admire his openness in publishing his amount claimed and amount spent. It is the principle of TD's expenses and the amount that they are entitled to that I have a serious issue with.

Every cent Varadkar gets is a waste, he's just Jackie Healy Rae with a dort accent.

[laidback]

Yeah, TDs are employees and should be treated like any other workers - ie they are not paid money additional to their wages/salaries to actually turn up.

If an employer paid unvouched untaxed expenses to an employee and said it was for travel and subsistence (this is technically what the turning up money is for) - the Revenue would not allow it. The payments would be grossed up and the employer would have to pay the PAYE and PRSI that should have been deducted, and also the employers PRSI on what was really wages but called something else.

In fact this would make an interesting test case. Let an employer write to the Revenue requesting permission to pay to staff as expenses the same turning up/travel money that TDs get.

Employers are expected to get prior Revenue clearance for the payment of unvouched expenses and normally this is automatic where the payments do not exceed the current civil service mileage and subsistence rates. This could be a good way of rewarding staff as employers PRSI at 10.75% would not apply to the payments if they are 'expenses.'

[revereie]

[QUOTE=laidback;1827069] In the April 09 budget Lenehan announced that the 'turning up' money (daily untaxed unvouched €61.33 per day) would be slashed by TEN% (I'm not joking this is slashing). He also announced removal of long service increments and ending of sitting TDs also collecting ministerial pensions [...]
However, 3 months later, the government has not found the time (surprise surprise) to put through the necessary legislation. Meanwhile they are currently rushing through the levy on holiday homes legislation and they were able to rush thro the removal of medical cards for over 70s.[QUOTE]


Well they were trying to save money, whatever about the merits/demerits of their actions - tackling the holiday homes/cards issue would raise far far more money than tackling (and very probably, eliminating) expenses. So, in this, they were logical. What was not logical was where they were trying to get their savings.

[laidback]

revereie

No they were not logical to leave their own situation untouched regardless of the amount of money it would save - you can't expect ordinary people who did not cause the current mess to pay more taxes, levies call them what you will when those at the top do not lead by example.

We are in a mess and tough decisions have to be made affecting all sections of the community.

But unless the govt and all the TDs are seen to taking pain then we will have civil unrest and I for one will be on the streets. There is no work yet rent allowances for the unemployed have already been cut when TDs expenses haven't.

This is about leadership.

[kerrynorth]

Was reading an article from the mid 80s where it was stated that TD's salaries were Tax Free.
Is this still the case?

All public salaries were exempt from PRSI up to the mid-90's but they were never tax free. Thats where you may be mixing it up.

[DCon]

[quote=revereie;1827192][QUOTE=laidback;1827069] In the April 09 budget Lenehan announced that the 'turning up' money (daily untaxed unvouched €61.33 per day) would be slashed by TEN% (I'm not joking this is slashing). He also announced removal of long service increments and ending of sitting TDs also collecting ministerial pensions [...]
However, 3 months later, the government has not found the time (surprise surprise) to put through the necessary legislation. Meanwhile they are currently rushing through the levy on holiday homes legislation and they were able to rush thro the removal of medical cards for over 70s.

Well they were trying to save money, whatever about the merits/demerits of their actions - tackling the holiday homes/cards issue would raise far far more money than tackling (and very probably, eliminating) expenses. So, in this, they were logical. What was not logical was where they were trying to get their savings.

Spoken like a true FFer

[Gruffalo]

I'm not a big fan of Leo Varadkar but to his credit he gives a full breakdown of his expenses and how he spent the amount claimed. Its on his web site Leo Varadkar TDs Expenses - how I spent mine !. in 2008 he claimed €34,671.80. I can accept the amount for Constituency office in fact €9k approx wouldnt go too far in the greater Dublin area. Its the other amounts that cause me concern 10K for travel and subsistance & 5k + for misc expenses. Now before all hell comes down on my head I am not getting at Leo, I admire his openness in publishing his amount claimed and amount spent. It is the principle of TD's expenses and the amount that they are entitled to that I have a serious issue with.

Why does Leo need a constituency office? He stated on the Late Late Show, the night that they were all on talking about reforming the system, that he does not hold clinics.