Taoiseach confirms tax cut for higher earners in budget

Taoiseach confirms tax cut for higher earners in budget
Photo: Orla Murray

It has been confirmed that high earners will get a tax cut in the Budget next week.

Enda Kenny has confirmed that the combined tax rate of 52% (41% income tax, 7% Universal Social Charge and 4% PRSI) will be lowered when the Budget is announced.

He said the lower tax rate will help to create another 15,000 jobs in the next four years.

However, he would not say whether the cut would come from the USC, PRSI or income tax.

He said: "I'm not going to give the details because it hasn't been signed off yet by government, but clearly the intent here is to present in the budget next week a reduction of that 52%.

"It may well be that you have to look at all the factors that make up that 52%, USC, income tax and PRSI."

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