Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

Income tax and welfare

  • 28-08-2012 11:47am
    #1
    Crann na Beatha
    Registered Users, Registered Users 2 Posts: 11,763 ✭✭✭✭


    This post has been deleted.


Comments

  • #2
    barneystinson
    Registered Users, Registered Users 2 Posts: 4,685 ✭✭✭barneystinson


    Aquila wrote: »
    There has been suggestions in this forum about those on certain SW payments having to make a % contribution in income tax etc.
    What i am curious about is the reasoning why those on certain welfare payments don't make a contribution in "income" tax?is it for historical reasons?

    There are basically 2 types of SW payments - benefits and allowances.

    Benefits tend to be based on contributions, and taxable.

    Allowances tend to be means tested and not taxable. AFAIK the purpose of the means test and allowance payments is to ensure the person achieves a certain required minimum level of income. On the one hand, there is an implied presumption that in order to pass the means test to obtain an allowance, generally one's income (or the family's income) would be so low that they wouldn't be in the tax net anyway. And if you accept the premise that the purpose of the allowance payment is to guarantee a certain level of net household income, then taxing the payment would just mean having to increase the gross amount of the payment, so as to end up with the same net income.


  • #3
    johnnyskeleton
    Moderators, Entertainment Moderators, Politics Moderators Posts: 14,550 Mod ✭✭✭✭johnnyskeleton


    Social welfare payments have traditionally been paid to the least well off memebrs of society. When welfare is a fraction of what one could make in a basic unskillled job then any issues a to taxing it don't arise.

    But when one person gets 30k a year tax free for not working and another works for 30k a year and has to pay tax on it, then clearly something is wrong.

    Taxing welfare is just a symptom of how mad our welfare system rather than an actual solution.


  • #4
    Farmer Pudsey
    Registered Users, Registered Users 2 Posts: 6,326 ✭✭✭Farmer Pudsey


    This is duplicate thread
    http://www.boards.ie/vbulletin/showthread.php?t=2056738300


Advertisement