Taxes on Rich People?
Out of context: Reply #56
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- raf0
@formed
In Ireland, so famous for low corporate taxes, personal income tax brackets are as follows:€0 - €18300 -> 0%
(for self-employed: €0 - €9150 -> 0%)€18300 - €36400 -> 20%
(for self-employed: €9150 - €36400 -> 20%)above €36400 -> 41%
This means, you don't pay the tax on the first €9150. If you are employed (as opposed to ie. self employed), you don't pay tax on another €9150. It is a gigantic tax credit for the low earners.
There is still a social tax, which is quite low in Ireland in comparison with the rest of Europe (5-6%).
However, the government just added a new 1% levy on everyone, increased VAT to 21.5% (it was already one of the highest in Europe) and increased a bunch of other taxes (petrol, wine, cigarettes, etc.).
On the same day, the UK lowered their VAT from 17% to 15%. The result? The Irish shop online in the UK or directly at the Northern border, rather than in the Republic. Irish retail just got stung dramatically.
The government strangled the economy and will wake up with a bigger hole in the budget than expected before they increased the taxes.