63% tax rate?

[clairec]

Apologies if there is already a thread on this, I couldn't find it.

As usual I was only half listening to the radio in the car but did Brian Lenihan say that if he increased the tax rate for incomes over 100k to avoid making cuts in the public sector pay bill as the unions want the rate would go to 63%?

[dunno]

Higher tax rates are blunt weapons. If they're got wrong, it simply means more work for the accountancy profession. I would start by seeing how the money raised now could be used more effectively. Could not the money poured into the HSE be better used?

[toughbutfair]

it is already 48% when you hit about 35k (41% income tax, 5%PRSI and health levy and 2% income levy)

Once you hit 35k, the government take half YOUR money

[joel]

Apologies if there is already a thread on this, I couldn't find it.

As usual I was only half listening to the radio in the car but did Brian Lenihan say that if he increased the tax rate for incomes over 100k to avoid making cuts in the public sector pay bill as the unions want the rate would go to 63%?

What he is saying is that those earning more than 100k are more deserving than public service workers.

[X-ray]

Higher tax rates are blunt weapons. If they're got wrong, it simply means more work for the accountancy profession. I would start by seeing how the money raised now could be used more effectively. Could not the money poured into the HSE be better used?

It is going to be better used.

It is going to be used to shield the well paid who survived the down turn from tax rises.

[X-ray]

it is already 48% when you hit about 35k (41% income tax, 5%PRSI and health levy and 2% income levy)

Once you hit 35k, the government take half YOUR money

Its 57% of my marginal pay as I also pay the pension levy, say what you want but my marginal pay is for out of hours work so it is unpensionable.
Its hard to get excited about working for less net than a babysitter and making no difference to the pension I will get. I would literally be better off staying at home.

[toughbutfair]

Its 57% of my marginal pay as I also pay the pension levy, say what you want but my marginal pay is for out of hours work so it is unpensionable.
Its hard to get excited about working for less net than a babysitter and making no difference to the pension I will get. I would literally be better off staying at home.

I know what you mean, but at least your tax money is used to ultimately pay for your salary.

[Eamonn76]

Beware of anything Lenihan says. He'll be saying he invented the typewriter next. By the time people on here have rumbled him the media have moved on. They question nothing he says no matter how outrageous. Did you hear when he claimed to have been the third man to walk on the moon?

[irish_bob]

What he is saying is that those earning more than 100k are more deserving than public service workers.

thats some rationale you have at work there

[darkhorse]

Apologies if there is already a thread on this, I couldn't find it.

As usual I was only half listening to the radio in the car but did Brian Lenihan say that if he increased the tax rate for incomes over 100k to avoid making cuts in the public sector pay bill as the unions want the rate would go to 63%?

My recollection was that the trade unions were pushing for this higher rate to preserve civil service jobs
But Lenihan refused and is insisting on reducing costs including payroll costs to save the same amount of money.
What a cheek they have to try to increase taxes on the wider public!