BUDGET
John McGuinness TD
2019
working with
Cllr. Andrew McGuinness
SUMMARY
On Your Side
I
SECURING MEASURES TO DEAL WITH THE HOUSING CRISIS
McGuinness Constituency Office O’Loughlin Rd, Kilkenny
PUBLIC CLINICS John McGuinness T.D. Every Saturday - Constituency Office - 10:30am to 1pm
Serving the people of Kilkenny & Carlow
Based in the heart of the St. Johns Parish Monday to Friday 9am to 5pm
First Saturday of each month Sacred Heart Hall, Graiguecullen, Carlow-2:30pm Castlecomer Drop In Centre-7:30pm Also available by appointment (056) 77 70672
Cllr. Andrew McGuinness Every Wednesday Constituency Office 10:30am to 1pm Also available by appointment (056) 77 70672
John McGuinness T.D. W (056) 77 70672
T www.johnmcguinness.ie Ð john@johnmcguinness.ie M N P
Cllr. Andrew McGuinness W 086 870 5811
Ð cllrandrewmcguinness@gmail.com
COMMUNITY FACILITY
Our office is here to serve the community. We have space to facilitate residents meetings or community groups should you require assistance Please contact our office for more information. 0612
Personal Service
Confidential Representation
19 BUDGET 2lin0 e of the changes
The following is an out as announced in Budget 2019. t on The changes will have an impac am very individuals and families and I e any queries conscious of this, so if you hav nges or concerns regarding these cha please feel free to contact me.
✔ All weekly social welfare payments to increase by €5 - March 2019 ✔ Christmas bonus increased from 85% to 100% - Dec 2018 ✔ Prescription charge for patients over 70 will reduce by 50 cent from €2 to €1.50 ✔ Drug Payment Scheme threshold down from €134 to €124 ✔ Excise on cigarettes to increase by 50 cent and pro rata on other tobacco products ✔ Betting tax increased from 1% to 2% ✔ Threshold for doctor only cards will rise by €25 per week ✔ 25 cent increase in the minimum wage to bring it to €9.80 per hour ✔ Additional two weeks parental leave for workers with newborns –Nov 2019 ✔ Fuel Allowance 2019 will be paid for 28 weeks up from 27 weeks ✔ Back to School Allowance & Clothing and Footwear Allowance increased by €25 ✔ Increase of the Qualified Child Payment of €2.20 per week for under 12’s and €5.20 per week for over 12’s ✔ Recruitment of up to 800 Gardaí
HOUSING
A fundamental part of Fianna Fáil’s budget negotiations was to secure substantial housing measures to deal with the ongoing crisis. H €2.3 billion to the housing programme for 2019. H €1.25 billion for the delivery of 10,000 new social homes in 2019. These will be delivered through a combination of construction, acquisition and leasing. H An extra €121 million for the Housing Assistance Payment (HAP) in 2019 to provide an additional 16,760 new tenancies in 2019. H €60 million extra in 2018 to tackle homelessness. H €30 million is being provided next year for homelessness services, bringing the total allocation for such supports to €146 million in 2019. H Serviced Sites Fund: to support local authorities in bringing forward lands for subsidised, more affordable housing, the fund will come to €310 million over 3 years, with €100 million next year. This will facilitate the delivery of around 6,000 affordable homes over the lifetime of the fund. H The infrastructural funding available per subsidised home is also being increased from €40,000 up to a maximum of €50,000, supporting the delivery of homes at up to 40 per cent below market prices. Income eligibility limits of €50,000 for a single applicant and €75,000 for dual applicant households will apply and these will be kept under regular review to ensure they remain appropriate. H The interest deduction for residential landlords in respect of loans used to purchase, improve or repair their residential property will be restored to 100% from 1 January 2019.
Tax
• Income Tax: An increase of €750 in the income tax standard rate band from €34,550 to €35,300 for a single person and from €43,550 to €44,300 for married one earner couples. • Home Carers Tax Credit up €300 to €1500 • An increase in the Earned Income Credit from €1,150 to €1,350. • PRSI for self-employed to be expanded, including job seekers, this will be introduced in late 2019. • Inheritance Tax threshold to rise by €10,000 to €320,000
VEHICLE REGISTRATION TAX DIESEL SURCHARGE A 1% VRT surcharge is being brought in for diesel engine passenger vehicles registering in the State from 1 January 2019. EXTENSION OF VRT RELIEF FOR HYBRID AND PLUG-IN HYBRID VEHICLES The VRT relief available for conventional hybrids and plug-in electric hybrids is being extended for a period of one year, until end 2019. EXTENSION OF 0% BIK RATE FOR ELECTRIC VEHICLES The 0% Benefit-in-kind rate for electric vehicles is being extended for a period of 3 years, with a cap of €50,000 on the Original Market Value of the vehicle.
VAT
VAT rate on tourism activities to increase to 13.5%, with the exception of newspapers and sporting facilities. VAT rate on electronically supplied publications reduced from 23% to 9%.
AGRI-TAXATION
INCOME AVERAGING (removal of restrictions relating to farmers with off-farm income)
Income averaging allows eligible farmers to calculate their taxable income as the average of their income in the current year and the previous four years, on a rolling basis, thus smoothing their tax liability over a 5 year cycle.
STOCK RELIEF (extended for 3yrs until end 2021)
Stock relief is a long-standing farming tax relief that encourages investment in improving stock quality and thus output. There are three separate measures: • the 25% General Stock Relief on Income Tax; • the 50% Stock Relief on Income Tax for Registered Farm Partnerships; and • the 100% Stock Relief on Income Tax for Certain Young Trained Farmers (YTF)
STAMP DUTY
Extension of Young Trained Farmers Stamp duty Relief (section 81AA SDCA 1999) for a further three years to 31/12/2021
Working Family Payment
(formerly Family Income Supplement) Family Size 2018 Income Limit 2019 Income Limit 1 child €521.00 €521.00 2 children €622.00 €622.00 3 children €723.00 €723.00 4 children €834.00 €834.00 5 children €960.00 €960.00 6 children €1,076.00 €1,076.00 7 children €1,212.00 €1,212.00 8 children or more €1,308.00 €1,308.00
The level of WFP payment will continue to be based on 60% of the shortfall between net weekly family income and the applicable weekly family threshold.
Employer’s PRSI
From 1 January 2019 the weekly income threshold for the higher rate of employer’s PRSI will increase from €376 to €386.
HEALTH
Fianna Fáil succeeded in securing; • €75 million to be spent on the National Treatment Purchase Fund an increase of 36%. • An additional €84 million will be provided for Mental Health Services in 2019 bringing the total available funding for Mental Health to €1 billion. This is an increase of 9 %. • An extra €150 million more for disability services next year to bring total funding in this area to almost €2 billion.
EDUCATION
• 1,300 additional posts in schools in 2019. • Increase in the standard capitation rate per pupil by 5%. • Additional 950 Special Needs Assistants to be recruited in 2019. • Up to 18,000 additional permanent school places and 5,000 replacement places. • Further upgrade of ICT infrastructure in schools. • €150 million for investment in Higher Education, Further Education & Training, and Research. Maximum Weekly Rates
Social Insurance Payments
Increase for a Personal Rate Qualified Adult 2018
2019
2018
2019
Increase for a Qualified Child 2018
State Pension (Contributory)
2019
€243.30 €248.30 €31.80 €34.00 €253.30 €258.30 €31.80 €34.00 €162.10 €165.40 €218.00 €222.50 Widow’s/Widower’s/Surviving Civil Partner’s (Contributory) Pension/Deserted Wife’s Benefit Under Age 66 €203.50 €208.50 €31.80 €34.00 Aged 66 and under Age 80 €243.30 €248.30 €31.80 €34.00 Aged 80 and over €253.30 €258.30 €31.80 €34.00 Invalidity Pension €203.50 €208.50 €145.30 €148.90 €31.80 €34.00 Carer’s Benefit/Constant €215.00 €220.00 €31.80 €34.00 Attendance Allowance Disablement Benefit €229.00 €234.00 €31.80 €34.00 Jobseeker’s/Illness/Health €198.00 €203.00 €131.40 €134.70 €31.80 €34.00 & Safety/Injury Benefit Maternity/Adoptive Benefit/ Paternity €240.00 €245.00 Death Benefit Under Age 66 €228.50 €233.50 €31.80 €34.00 Aged 66 and under Age 80 €247.70 €252.70 €31.80 €34.00 Aged 80 and over €257.70 €262.70 €31.80 €34.00 2019 2018 2019 2018 2019 2018 Personal Rate - Under Age 80 Personal Rate - Age 80 and over Increase for Qualified Adult - Under 66 Increase for Qualified Adult - 66 and Over
Social Assistance Payments
State Pension (Non-Contributory)
2019
Under 12 12 and over
37.00 € €37.00
€37.00 €37.00 €37.00 37.00 € €37.00 €37.00 2019
Under 12 12 and over
€232.00 €237.00 €31.80 €242.00 €247.00 €31.80 153.30 €156.60 €
34.00 € €34.00
€37.00 €37.00
Under Age 66 Aged 66 and over
€214.00 €219.00 €31.80 €252.00 €257.00 €31.80 €198.00 €203.00 €131.40 €134.70 €31.80
34.00 € €34.00 €34.00
€37.00 €37.00 €37.00
Disability Allowance/Blind Pension Widow’s/Widower’s/Surviving Civil Partner’s (Non-Contributory) Pension One-Parent Family Payment Pre-Retirement/Deserted Wife’s Allowance Jobseeker’s Allowance
€198.00 €203.00
€31.80 €34.00
€37.00
€198.00 €203.00
€31.80
€34.00
€37.00
€198.00 €203.00 €131.40 €134.70 €31.80
€34.00
€37.00
Aged 26 or Over Aged 25 Aged 18-24
€198.00 €203.00 €131.40 €134.70 €31.80 €34.00 €152.80 €157.80 €131.40 €134.70 €107.70 €112.70 €107.70 €112.70
€37.00
Aged 26 or Over Aged 25 Aged 18-24
€196.00 €201.00 €152.80 €157.80 €107.70 €112.70 €198.00 €203.00
€37.00 €37.00
Supplementary Welfare Allowance -
Farm Assist
€131.40 €131.40 €107.70 €131.40
€134.70 €31.80 €34.00 €134.70 €112.70 €134.70 €31.80 €34.00
• Working Family Payment recipients to benefit from a new maintenance disregard of €95 Per week in respect of housing costs, with the remainder to be assessed at 50% • Earnings disregard for working lone parents receiving One-Parent Family Payment or Jobseeker’s Transition Payment to increase by €20 to €150 per week
37.00 € €37.00 €37.00 €37.00
Aged 66 and under Age 80 Age 80 and over Increase for Qualified Adult - Under 66
Carer’s Allowance
FAMILIES AND CHILDREN
Commences March 2019
Affordable Childcare Scheme • The base income threshold is being raised from €22,700 to €26,000. • The maximum income threshold will go from €47,500 to €60,000. • The multiple child deduction will increase from €3,800 to €4,300.
USC RATES & BANDS
€0 - €12,012 @ 0.5% €12,012 - €19,874 @ 2% €19,874 - €70,044 @ 4.5% €70,044 + @ 8% Self-employed income over €100,00: 3% surcharge