New 30% tax rate could be in next budget — Varadkar

Tánaiste and Finance Minister look at ways to relieve the burden on people 'on very modest incomes' paying the highest tax rate

'[P]eople in Ireland pay that highest rate of tax on very modest incomes,' according to Tánaiste Leo Varadkar. File picture

A third rate of income tax to put more money in the pockets of middle-income earners could be announced as part of October’s budget, the Tánaiste has suggested.

As inflation continues to put pressure on families, Leo Varadkar has suggested that a 30% rate of income tax would help the ‘squeezed middle’, revealing that he first asked Finance Minister Paschal Donohoe to look at this several months ago.