Budget 2013 Updates

• Other Measures include:-
• Diesel rebate for hauliers from July;
• The Foreign Earnings Deduction for work-related travel will be extended to certain countries beyond the BRICS;
• The R&D tax credit will be changed to double the initial spending eligible for credit from €100,000 to €200,000 to encourage innovation;
• The cash receipts basis threshold for VAT will rise from €1m to €1;25m;

Budget 2013 Updates

Farmers

Get extended rate of stock relief

The general 25% rate and special 100% rate of stock relief, which were due to expire on 31 December 2012, have been extended for a further three years;

Budget 2013 Updates

Mortgage Interest Relief

This will end for first-time buyers this December

There will be an exemption from new property tax up to end of 2016 of new or unoccupied purchases for first-time buyers. Will also apply to those on ghost estates.

Budget 2013 Updates

Pensions

Tax relief will only be allowed to pensions designed to deliver an income of up to €60k (from 1 Jan 2014)

Budget 2013 Updates

PRSI.

Broadening the base for PRSI contributions

– increasing the min payment of self-employed from €253 to €500 and

– abolishing the weekly allowance for employees

PRSI will be put on rental income, investment income, dividends, savings

Budget 2013 Updates

• property tax
• will commence  from 1 July 2013.
• It will be collected by the Revenue
• Owners are responsible for payment
• Based on market value of property as assessed by the owner
• Initial valuation valid up to the end of 2016
• o.18 per cent up to €1m,
• 0.18 per cent for first €1m, plus 0.25 per cent on balance of valuation

Budget 2013 updates

From 1 July 2013, maternity benefit will be taxed like other social welfare payments for income tax but it won’t be subject to the USC.

Any unpaid Household Charge for 2012 will be collected through the Property Tax.

Household charge will cease from 1 Jan 2013,

and NPPR charge or second home tax will end on 1 Jan 2014

Half-year property tax levy this year as it’s starting on 1 July 2013 – eg, €150k-€200k properties will face a charge of €157.

Budget 2013 Updates

Carbon tax increases

€10 per tonne from 1 May 2013

€20 per tonne from 2014

Budget 2013 Updates

Capital tax- thresholds on acquisition tax to increase by 10 per cent;

DIRT to increase to 33 per cent

Budget 2013 Updates

Excise Duty

NOT increasing duty on petrol or diesel.

Hikes on alcohol: Beer/ cider – 10c; spirits – 10c extra per litre

AND ON WINE, €1 increase on 75cl bottle

10 cents on 20 cigarettes

50 cents on 25 grams packs of loose tobacco