1% Levy

[TonyBoy]

Am I right:
The 1% levy apple's to a single person earning over €20,000 per year?
A married couple earning over €40,000 per year?
All including Pensions - State Pension excluded?
If the couple earn €39,500 No Tax
If the couple earn €40,500 They pay 1% on full amount?
They do not have a Medical Card.

 

[gipimann]

No, the levy applies to income over €18304. This limit does not double for married couples.

The €20k/€40k limits only apply to persons over 65 who have income other than Social Welfare Pension.

Have a look in the Budget 2009 forum here, there's a thread on the Income levy including a link to Dept of Finance document.

 

[TonyBoy]

Sorry - It was my Parents I was inquiring about - yes Over 65
If their total income is €40,500 do they pay the 1% on it all?

 

[gipimann]

Yes, once the threshold is exceeded, the levy applies to all income not just the bit over the threshold.