Say it ain’t so… August 28, 2010Posted by WorldbyStorm in Economy, Irish Politics.
ABOUT 3,800 people who earned more than €100,000 last year paid no tax on their income, according to estimates prepared by the Revenue Commissioners.
These individuals were able to avail of tax breaks in areas such as property investment and business expansion schemes, as well as tax relief on trading losses.
A breakdown of the figures shows that most of those who had zero tax liability were company directors, while just over 600 were classified as PAYE workers.
Granted these seem to date from 2007, and in fairness to one B. Lenihan he has a point when he notes ‘…many (some?) tax shelters have been closed off’.
But… colour me amazed.
By the way, check this out…
While some high earners may be able to escape paying high rates of tax, a breakdown of the overall level of income tax paid by workers in the State paints a different picture.
Latest Revenue projections indicate that the top 2 per cent of earners accounted for almost one third (32 per cent) of tax collected during 2009.
The top 5 per cent of earners accounted for almost half (48 per cent) of the total income tax take.
The figures also show how many low-income workers are shielded from income tax. Almost half of all workers (46 per cent) earning below a certain threshold were estimated to be entirely exempt from traditional income tax, although some were liable for the income levy.
Erm… there’s a reason those top 5% account for half of total income tax. That’s because they have proportionately much much greater wages. While those on the lowest incomes make feck all money in comparison. Still, got to love the way the poor put upon higher earners trope is gathering steam.