Way to ignore USC (Universal Social Charge) and PRSI (Pay Related Social Insurance), these two alone + income taxes add up to over 50% rate on every euro earned above about 32-33K
thats without even going into property tax which could also be taken out of your income (and probably water tax soon)
The government has deliberately made the "income" taxes so complicated with 3 major different variables, and plenty of other minor nuances dependent on the persons circumstance
In my case for 2014:
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Gross Pay €32,876.69
Income Tax €4,941.44
USC €1,620.17
PRSI €1,315.08
Net Pay €25,000
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Thats for tax year 2014 (wasn't married yet, own company director), any euros earned above this I would have had to pay a rate of 50%+ tax (income+usc+prsi),
This year it is a little less (few hundred euro) due to getting married and budget 2015 being a tiny bit more forgiving.
You have ignored PRSI and USC and ignored that company directors lose a good chunk of their tax credits (and to add insult to injury no longer qualify for full welfare when things go bad!) for bothering to start a company, I suppose you work for someone else and do not comprehend how toxic the tax regime is towards small businesses. Revenue views all small business and sole traders with absolute disdain the EXPECT them all too be crooked and ASSUME you are guilty of tax fraud and place the onus on you to PROVE you are innocent of any tax misdoings (which costs time and accounting money)...
ys1010 is (accurately) describing the marginal rate which effectively applies to all income above a threshold (although the different taxes/charges have different thresholds). It’s quite the thing when it kicks in.
Nope. I'm Irish and confirm those figures. There is no city or local taxes in Ireland. (Ireland, with a population of 4.5mil isn't split into many different juristicions like the USA)
I'm sorry but you cant just go on to HN and make stuff up.
You pay 20% on the first €33,800 income and only 40% on income over €33,800 if single.
You pay 20% on the first €42,800 income and only 40% on income over €42,800 if Married with one income.
You pay 20% on the first €67,600 income and only 40% on income over €67,600 if Married with two incomes.
You pay 20% on the first €37,800 income and only 40% on income over €37,800 if a single parent.