The € 750 Tax Credit, does the Irish Government really want young Irish Graduates to stay in Ireland?

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OHSEE24

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People under age 25 should get €750 tax credit a year in a bid to stop them from emigrating as soon as they graduate, according to Enterprise Minister Peter Burke. The Fine Gael minister believes the tax credit should be at the centre of party policy as it would help to keep young, skilled people in Ireland.

In contrast, IPAS applicants are entitled to at least € 5.0k (minimum € 113/week) and a further € 100/week (ie €10,000 a year) after a PPSN has been issued and their application for asylum is being processed (which can take years).

Bearing in mind the cash value of any tax credit is probably worth < 50% of face value, I would like to see him explain how the policy would work? Does Minister Burke seriously believe that the Government's policy will work and persuade young graduates to remain in Ireland.
 
Is it not age discrimination? What if you are 26 and just graduated. You don't get it? Surely discrimination. It should be a graduate tax relief surely if anything.
 
OHSEE24 said:
People under age 25 should get €750 tax credit a year in a bid to stop them from emigrating as soon as they graduate, according to Enterprise Minister Peter Burke. The Fine Gael minister believes the tax credit should be at the centre of party policy as it would help to keep young, skilled people in Ireland.

In contrast, IPAS applicants are entitled to at least € 5.0k (minimum € 113/week) and a further € 100/week (ie €10,000 a year) after a PPSN has been issued and their application for asylum is being processed (which can take years).
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And today's Apples / Oranges award goes to....
 
Does Minister Burke seriously believe that the Government's policy will work and persuade young graduates to remain in Ireland.

Those who will leave fall into a number of categories.

Those who are going on an adventure.
This will not matter to them.

Those who have no choice.
This will not matter to them.

Finally we get to the targeted audience.
Those who may or may not leave.

They may believe that this amount is sufficient to tip the balance to remaining for some.

I have my doubts but politicians tend to have some daft views.
 
OHSEE24 said:
People under age 25 should get €750 tax credit a year in a bid to stop them from emigrating as soon as they graduate, according to Enterprise Minister Peter Burke. The Fine Gael minister believes the tax credit should be at the centre of party policy as it would help to keep young, skilled people in Ireland.

In contrast, IPAS applicants are entitled to at least € 5.0k (minimum € 113/week) and a further € 100/week (ie €10,000 a year) after a PPSN has been issued and their application for asylum is being processed (which can take years).

Bearing in mind the cash value of any tax credit is probably worth < 50% of face value, I would like to see him explain how the policy would work? Does Minister Burke seriously believe that the Government's policy will work and persuade young graduates to remain in Ireland.
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So presumably you're advocating that the €750 tax credit should, instead, be allocated to the IP applicants to encourage them to relocate to some other land of milk and honey? Why not drop a line to Peter Burke outlining your wizard suggestion? I'm sure that he'll be delighted to hear from you.
 
Marsupial said:
So presumably you're advocating that the €750 tax credit should, instead, be allocated to the IP applicants to encourage them to relocate to some other land of milk and honey? Why not drop a line to Peter Burke outlining your wizard suggestion? I'm sure that he'll be delighted to hear from you.
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The system already does that at a low level. An example I came across recently was the SUSI grant system, Irish pay postage and guests of the state have free post.
 
OHSEE24 said:
People under age 25 should get €750 tax credit a year in a bid to stop them from emigrating as soon as they graduate, according to Enterprise Minister Peter Burke. The Fine Gael minister believes the tax credit should be at the centre of party policy as it would help to keep young, skilled people in Ireland.

In contrast, IPAS applicants are entitled to at least € 5.0k (minimum € 113/week) and a further € 100/week (ie €10,000 a year) after a PPSN has been issued and their application for asylum is being processed (which can take years).

Bearing in mind the cash value of any tax credit is probably worth < 50% of face value, I would like to see him explain how the policy would work? Does Minister Burke seriously believe that the Government's policy will work and persuade young graduates to remain in Ireland.
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A €750 tax credit is worth €750.

The salient point is that €750 is hardly a behaviour changing amount of money. It would probably need to be €7,500, or maybe even €75,000!

There is also the merit in going somewhere for a few years. I chose to go to the UK for a while, for example.
 
It’s a red herring. Ridiculous
Agree with Gordon. It’s not going to make people say ‘wait a second, hang on, did you say 750 tax credit? Well then that changes everythin’

If they want graduates to stay they need to address the more important issues that is making it attractive to leave.

1. Better salaries/work life balance/climate abroad?
2. More favourable tax rates abroad
3. Cost of living in Ireland
4. Housing issue in Ireland

I certainly would be thinking of leaving if I was a newly qualified graduate.
 
It's a small step in the right direction, incentives matter, even if the material affects won't be huge at least it signals a move in the right direction.

A more useful incentive would probably be measures targeted at improving affordable family formation for fiscally productive young Irish couples.
 
BlackandBlue said:
Does Minister Burke seriously believe that the Government's policy will work and persuade young graduates to remain in Ireland.

Those who will leave fall into a number of categories.

Those who are going on an adventure.
This will not matter to them.

Those who have no choice.
This will not matter to them.

Finally we get to the targeted audience.
Those who may or may not leave.

They may believe that this amount is sufficient to tip the balance to remaining for some.

I have my doubts but politicians tend to have some daft views.
Click to expand...

It seems like a very broad measure to try and influence those who are on the fence. Would be interested to see how many people they think they can change minds of.

I can’t imagine it would prove good value for money. Just buy a few votes.
 
clinteastwood said:
can you show me the reference for that?
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I don't want to start an argument over it, I am just stating a fact I discovered. There was once a time when all government/state institutions had Freepost. I went Googling for SUSI Freepost these are the results.

Asylum seekers:

International Protection Student Scheme (for FE/HE Students) 2024/2025

Information on student grants for asylum seekers.
www.gov.ie www.gov.ie
Screenshot_2024-08-11-22-26-14-761_com.android.chrome-edit.jpg

EU Citizens:
A pre addressed envelope is provided that costs €2.95 to post. Freepost is not provided.

Contact SUSI

How to get in Touch
www.susi.ie www.susi.ie

Screenshot_2024-08-11-22-29-37-373_com.android.chrome-edit.jpg
 
faketales said:
It seems like a very broad measure to try and influence those who are on the fence. Would be interested to see how many people they think they can change minds of.

I can’t imagine it would prove good value for money. Just buy a few votes.
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Not so sure.

Bear in mind that every graduate who stays will likely become a taxpayer contributing to the states coffers.

So each successful remainer would be a nett contributor .

As to how many stay I agree that that's the 60 million euro question.
 
750e is not even a carrot, more like the bottom end of a carrot.

Certain roles should require work in Ireland to pay off the investment made by the education system. A doctor for example is expensive to train, and a bond should exist so if they want to leave they have to pay 100k

In parallel where shortages exist we should hire for some of these education programmes - you don't need to ace the leaving cert to be a doctor, indeed many who ace the leaving cert have high IQ and no EQ (required for bedside manner and teamwork). Pilot training used to be for the state airlines and only for elite people (aka nepotism), now it can be done privately, and effectively as Ryanair demonstrates
 
presidenttttt said:
750e is not even a carrot, more like the bottom end of a carrot.

Certain roles should require work in Ireland to pay off the investment made by the education system. A doctor for example is expensive to train, and a bond should exist so if they want to leave they have to pay 100k

In parallel where shortages exist we should hire for some of these education programmes - you don't need to ace the leaving cert to be a doctor, indeed many who ace the leaving cert have high IQ and no EQ (required for bedside manner and teamwork). Pilot training used to be for the state airlines and only for elite people (aka nepotism), now it can be done privately, and effectively as Ryanair demonstrates
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Controls work in some countries which have to them, but not in others. We had a discussion with a consultant about this, he actually asked the question to my wife.
Where he came from, 'in theory' after fully qualifying as a doctor a number of years service (7?) in required by their government. This would normally in the 'middle of nowhere', where a doctor was needed. However, the government does not strictly enforced this and doctors can just go abroad to make their fortune.
Where my wife comes from. A) the government will not easily issue passports to young doctors, without a very good reason. B) They have agreements with other countries not to issue them work visas. Thus while they train nurses (for export) in the 10s of thousand, you will rarely come across a doctor working abroad. My wife's best friend was a fully qualified doctor and got around this by retraining a nurse, then went to work in America as a nurse.
 
BlackandBlue said:
Not so sure.

Bear in mind that every graduate who stays will likely become a taxpayer contributing to the states coffers.

So each successful remainer would be a nett contributor .

As to how many stay I agree that that's the 60 million euro question.
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More the 100m a year question as that’s the cost per year estimate given.

About 30,000 Irish citizens left the state last year. A high estimate is that one third of them are in that age window so 10,000.

I think it would be fair to say persuading 10% of them to stay would be a success. So 1,000 people extra per year stay.

That’s a cost of €100k per person who stays.

Some of them would have been back in a year or two others may never return. Maybe 5 years on average of taxes you gain from them, means you would need to take in 20k a year to have a financial return on investment. Obviously you get the benefit of that persons service if say they are in healthcare or building houses. But they could just as easily work for Facebook.

I suspect there would be a better way to divvy out 100m a year if your goal is just to keep people in Ireland.
 
€750… they’d need to add a couple of zeros to that!

I know lots of late 20s early 30s who have moved abroad. Some will come back in a year or 2. Others in a decade with young families. Others won’t.

I went away in the 1980s as did most of my year at uni. I’d say about 50% were back within a decade. Enjoyed the time away, new experiences etc. Built on the education we had etc. A few returned a fair bit later, as parents aged and kids headed to college years. They brought experience and money with them.

I’d like to think that the current diaspora would be back in a few years but it seems that the cost of housing here is a significant deterrent.

Low rate loans would help there maybe. Like my parents got donkeys years ago… the co council gave them a mortgage, got them away from the possibility of social housing. It was fixed and 25 years. I remember the end of it. At that stage it was a few quid a month, less than a packet of cigarettes my dad said (not a smoker). But the loan gave them security.
 
rustbucket said:
I certainly would be thinking of leaving if I was a newly qualified graduate.
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Two of my daughters, who will graduate in a few years time, have told me they will be off to Australia. Many of their friends have a similar outlook. Ultimately I expect that four of my six children will emigrate. Piecemeal tax measures won't make any real difference.
 
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