EXAMPLE 9
Married couple, one income, two children
Taxed under Schedule D
Gross PRSI/Levy Liability Tax Liability Child Benefit Total Gain as % of
Income Existing Proposed Existing Proposed Increase (a) Gain Net Income (b)
€ € € € € € € %
15,000 450 450 0 0 108 108 0.6
20,000 1,000 1,000 190 190 108 108 0.5
25,000 1,250 1,250 1,190 1,190 108 108 0.4
30,000 1,500 1,500 2,190 2,190 108 108 0.4
35,000 1,750 1,750 3,190 3,190 108 108 0.3
40,000 2,000 2,000 4,850 4,850 108 108 0.3
45,000 2,250 2,250 6,950 6,950 108 108 0.3
50,000 2,500 2,500 9,050 9,050 108 108 0.3
60,000 3,000 3,000 13,250 13,250 108 108 0.2
80,000 4,000 4,000 21,650 21,650 108 108 0.2
100,000 5,000 5,000 30,050 30,050 108 108 0.2
120,000 6,000 6,000 38,450 38,450 108 108 0.1
Variations can arise due to rounding.
(a) Value during 2004 of the increase in Child Benefit (CB) made in the Budget, which is effective from April, 2004 (i.e. assuming 9 months of CB increase).
(b) Net income includes CB less deductions of tax, levy and PRSI (where appropriate) and so may be higher than the gross income.