Tax Facts – Budget 2018

Income Tax 2018

Year

2017

2018

Tax Credits
Standard Rate

20%

20%

Marginal Rate

40%

40%

Standard Rate Band
Single/Widowed – No dependant children

€33,800

€34,550

Single/Widowed – With dependant children

€37,800

€38,550

Married or in a Civil Partnership – one income

€42,800

€43,550

Married or in a Civil Partnership- two incomes*Increase is lower of €23,800 and income of lower earning spouse.

€42,800

+

€24,800*

€43,550

+

€25,550*

Tax Credits
Single Person

€1,650

€1,650

Married

€3,300

€3,300

Widowed(no dependant children)

€2,190

€2,190

Additional Credit for one Parent Family Widowed & Other

€1,650

€1,650

PAYE

€1,650

€1,650

Blind Allowance

€1,650

€1,650

Dependant Relative

€70

€70

Age Allowance -65 & over

€245

€245

Home Carer’s Allowance

€1110

€1200

Exemption Limits
Aged 65 + Single/Widowed

€18,000

€18,000

Aged 65 + Married

€36,000

€36,000

Universal Social Charge

Income Bands 2018

2017

2018

Employed

Self employed

Employed

Self employed

First €12,012

0.5%

0.5%

0.5%

0.5%

Next €7,360

2.5%

2.5%

2%

2%

Next €50,672

5%*

5%*

4.75%*

4.75%*

Balance(>€100,000

8%

11%

8%

11%

*Individuals who have income from self-employment that exceeds €100,000 in a tax year are subject to a 3% surcharge. A USC rate of 11% therefore applies to any income in excess of €100,000 . USC does not apply where total income does not exceed €13,000 or income that is already subject to DIRT.*rate reduced to 2% if over 70 and income is above €12,012 but below €60,000

Capital Gains Tax

2017

2018

Rate 33%

Rate 33%

Annual Exemption for Individuals €1,270 Annual Exemption for Individuals €1,270
Retirement Relief €500,000(limit) Retirement Relief €500,000(limit)
Tax Year Expenditure Incurred

Disposal in year ending

31/12/2003 or later tax years

Tax Year Expenditure Incurred

Disposal in year ending

31/12/2003 or later tax years

1988/89

1.553

1988/89

1.553

1989/90

1.503

1989/90

1.503

1990/91

1.442

1990/91

1.442

1991/92

1.406

1991/92

1.406

1992/93

1.356

1992/93

1.356

1993/94

1.331

1993/94

1.331

1994/95

1.309

1994/95

1.309

1995/96

1.277

1995/96

1.277

1996/97

1.251

1996/97

1.251

1997/98

1.232

1997/98

1.232

1998/99

1.212

1998/99

1.212

1999/00

1.193

1999/00

1.193

2000/01

1.144

2000/01

1.144

2001

1.087

2001

1.087

2002

1.049

2002

1.049

Indexation only applies for periods of ownership up to 31/12/2002. Indexation only applies for periods of ownership up to 31/12/2002.

Corporation Tax Rates

2017

2018

Trading Income

12.5%

Trading Income

12.5%

Non-Trading Income

25%

Non-Trading Income

25%

Capital Acquisitions Tax

2017 *

2018 *

Threshold Relationship Threshold Relationship
€310,000 Child, or, minor child of a deceased child. €310,000 Child, or, minor child of a deceased child.
€32,500 Brother, sister, child of a brother or sister, lineal ancestor or descendant. €32,500 Brother, sister, child of a brother or sister, lineal ancestor or descendant.
€16,255 Other €16,255 Other
Tax Rate 33% Tax Rate 33%
*Applies with effect from 6/12/2017. All benefits received since 5/12/1991 taken into a/c for threshold. *Applies with effect from 01/01/2018. All benefits received since 5/12/1991 taken into a/c for threshold.
Annual Gift Exemption €3,000 Annual Gift Exemption €3,000

Tax on Investment Products

2017

2018

DIRT DIRT
39% Interest credited at least annually 37% Interest credited at least annually
39% Interest NOT credited at lest annually 37% Interest NOT credited at lest annually
EXIT TAX EXIT TAX
41% Collective Investments 41% Collective Investments
41% Corporate Investors 41% Corporate Investors
60% Personal Portfolio/Wrappers 60% Personal Portfolio/Wrappers

 

Important Tax Dates

2017

2018

Income Tax

Income Tax

Mid November 2017

 – Return Filing date and Payment of Balance of Income Tax for 2016.

Mid November 2018

 – Return Filing date and Payment of Balance of Income Tax for 2017.

– Preliminary Income Tax due for 2017

– Preliminary Income Tax due for 2018

– Deadline for Online Returns

– Deadline for Online Returns

Capital Gains Tax Capital Gains Tax
15/12/2017

-Payment of CGT on disposals made in the period 1st January 2017 to 30th November 2017

??/12/2018

-Payment of CGT on disposals made in the period 1st January 2018 to 30th November 2018

31/01/2017

– Payment of CGT on disposals made in December 2017

??/01/2018

– Payment of CGT on disposals made in December 2018

 

Disclaimer: Eamon Porter trading as Aspire Wealth Management accepts no responsibility for any of the information contained herein. The information listed above was correct at the time of preparation (October 2017), and is based on the Budget 2018 Statement – October 2017.

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