Dáil Reply on Bank Bonuses 4/11/2014
QUESTION NO: 306
DÁIL QUESTION addressed to the Minister for Finance (Deputy Michael Noonan)
by Deputy Róisín Shortall
for WRITTEN ANSWER on 04/11/2014
To ask the Minister for Finance the amount of revenue raised and the number of persons through the imposition of a 45% USC rate on bank bonuses with a breakdown by year.
Section 531AAD of the Taxes Consolidation Act 1997 provides for a charge on bonus payments that exceed €20,000, paid to employees of financial institutions that received financial support from the State under the Credit Institutions (Financial Support) Act 2008. This charge, the “excess bank remuneration charge”, is incorporated into the Universal Social Charge and applies in all respects as if it was USC except that it is charged at a higher rate of 45%. The normal USC rates are not applied. The charge applies for 2011 and subsequent tax years.
The revenue raised and number of individuals who have paid the charge is as follows:
Year Revenue Raised Number of Individuals
2011 €1.288m 47
2012 Nil Nil
2013 Nil Nil