Dáil Éireann Debate, Tuesday - 7 July 2026
251. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Finance the estimated full-year cost of abolishing USC for all earners and replacing it with a higher income social charge of 10% on all earnings over €100,000 per year; the estimated revenue that would be generated by the introduction of this new higher income social charge; and if he will make a statement on the matter. [51297/26]
View answerI am advised by Revenue that the current estimated yield from the Universal Social Charge (USC) in 2026 is €5.9 billion.
I am further advised by Revenue that the estimated yield in 2026 of restructuring the USC rates and bands so that only individual income in excess of €100,000 would be subject to a charge, at a rate of 10%, is an estimated €2.4 billion on a full year basis.
Therefore, the estimated net cost of the proposals outlined by the Deputy is €3.5 billion on a full year basis.
All figures are estimates for 2026 based on Revenue’s micro-simulation tool Tax Modeller, based on actual returns for the latest year currently available for analysis, 2023, and adjusted for income and population changes in the interim.
