Irish workers paying more tax than they did 10 years ago

The Irish Tax Institute is the pre-eminent body in the provision of expert tax advice in Ireland

In a pre-budget submission, the Institute says take-home pay for a single person on €35,000 is down by nearly €1,000. The submission says workers across all salary levels continue to pay more personal tax than they did ten years ago, despite a programme of personal tax reductions over the last seven years.

The submission, which looks at the combined levels of income tax, USC and PRSI, shows the more a person earns, the greater decrease in their net pay over the ten years. They add that the system is “aggressively” progressive. Progressive tax means the more you earn, the more tax you pay.

The institute notes that the Universal Social Charge – which was brought in in 2011 – as well as changes in how income tax works is behind some of the extra tax burden.