Michael Noonan tight-lipped on USC ‘tax time bomb’
Mr Noonan said he had not yet reached a decision on what to do about a pre-programmed change to the levy, which will see rates for older people and those on medical cards increase, and payments for self-employed people decrease from the New Year.
When the USC was brought in by the Fianna Fáil-Green government at the beginning of 2011, rates were set at 4% for people on medical cards earning less than €60,000 per year, and 10% for the self-employed earning more than €100,000 per year. But the legislation stated the rates would harmonise at 7% from January 1, 2015.
