Dáil Éireann Debate, Tuesday - 2 July 2024
184. Deputy Jennifer Murnane O'Connor asked the Minister for Finance the estimated full-year cost of reducing the first rate of USC from 0.5% to 0.25%, reducing the second rate of USC from 2% to 1% and increasing the threshold to the third rate of USC from €25,760 to €33,000; and if he will make a statement on the matter. [28094/24]
View answerI am advised by Revenue that the estimated cost to the Exchequer on a first and full year basis for the proposal outlined by the Deputy would be of the order of €685 million and €785 million respectively.
A reduced USC rate of 2% currently applies for those aged 70 years or older with income of €60,000 or less and for those who hold a full medical card with income of €60,000 or less. For consistency, the estimated costings also include a decrease from 2% to 1% in this rate.
