Budget 2023 –The Main Points
The 2023 Budget details were announced in the Dail by the Minister for Finance Paschal Donohoe on the 27th of September 2022. Here we highlight the main points of interest.
Key Points from the Budget 2023 Speech:
- Income tax standard rate bands increased by €3,200 for a single person, with corresponding increases for married couples, and main personal tax credits increased by €75 for a single person and €150 for a married couple.
- The 2% USC band will be increased in 2023 from €9,283 to €10,908, with a corresponding reduction in the 4.5% band.
- No change announced in the DIRT rate of 33%, exit tax rate of 41% or in the 1% life assurance premium levy.
- The maximum personal rate of State Pension and other Social Welfare benefits increases by €12 pw, with proportionate increases for qualified adults and those on reduced rates of payment. There will be a double payment of Social Welfare benefits in October and again in December.
- No changes in private pension tax reliefs, limits, or taxation of benefits.
- No change in CAT rates or Threshold amounts.
- No change in CGT rate.
- No change in PRSI rates, employer, or employee.
- Help to Buy Scheme extended to end of 2024.
- A new €500 annual tax credit from 2022 for those renting their principal private residence and not in receipt of any other State Housing support.
- A new Vacant Homes Tax of 3x Local Property Tax will be introduced in 2023.
- Tax free employer vouchers annual limit doubled to €1,000.
- Other taxation and pension changes not announced in the Budget could be introduced later in the Finance Bill 2022.
For a more in depth budget update from the LIA please click the following link:
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