Fine Gael TD for Dublin Fingal, Alan Farrell, has said that the USC changes introduced in Budget 2016 will be evident to thousands of people who are getting paid today (Friday) for the first time in 2016.
“Budget 2016 introduced a cut to the USC for low to middle income earners from 7% to 5.5%, reducing the tax rate to below 50%. The entry point into USC has also been increased to €13,000, exempting 90,000 low earners from the USC. All of these changes came into effect on 1st January and will be visible in pay packets this month.
“These changes to the USC, which will help spread the benefits of the recovery and will ensure that hard work pays, were opposed by Fianna Fáil.
“Since the launch of the Action Plan for Jobs, over 135,000 jobs have been created. More people in work create the resources to cut taxes for working people and to invest in better services.
“Fine Gael has committed to eliminating the USC altogether during the term of the next Government, meaning every worker on the average industrial wage of €35,000 will have an additional €1,220 in their pay-packet per annum. We have a long term plan to keep the recovery going and will continue to make responsible decisions to keep the economy strong.
“USC changes introduced in Budget 2016 will make a small but significant difference to workers in all parts of the country. The Irish people have worked too hard to get to where we are, we cannot go back. Fine Gael is committed to getting people back to work and will use the resources created to reduce taxes and invest in vital services.”