Intrastat - thresholds from 1 January 2017
There will be no change to the arrivals, dispatches exemption and delivery terms thresholds for 2017. Therefore for 2017 the exemption thresholds are £1,500,000 for arrivals and £250,000 for dispatches. The delivery terms threshold remains at £24,000,000.
However, the low value consignment threshold will be increasing from £150 to £175 from 1 January 2017.
Irish Revenue launched a consultation paper on 11 October 2016 regarding the modernisation of the PAYE system, effectively a move to real-time information as we have it in the UK. It is envisaged that the PAYE modernisation will be operational from January 2019.
Irish Budget for 2017
The following changes were announced on 11 October 2016 and are due to take effect from 1 January 2016 unless otherwise stated.
Tax rates and SRCOPs
There has been no change to tax rates or SRCOPs. The standard rate will remain at 20% and the higher rate at 40%.
Emergency basis of tax
There are no changes to the SRCOP and Tax Credits which apply under the Emergency basis of tax.
Universal Social Charge (USC)
There is no change to the USC exemption threshold of €13,000. The 1%, 3% and 5.5% rates have been reduced by 0.5% to 0.5%, 2.5% and 5% respectively. There has been no change to the 8% rate of USC. For 2017 USC will apply at the following rates for those earning in excess of €13,000:
Rate bands Rate
PAYE income Non-PAYE income
Up to €12,012 0.5% 0.5%
Next €6,760 2.5% 2.5%
Next €51,272 5% 5%
Next €29,956 8% 8%
Balance (in excess of €100,000) 8% 11%
Medical card holders and individuals aged 70 years and over whose aggregate income does not exceed €60,000 will pay a maximum rate of 2.5%. The rate of 8% USC will continue to apply under the Emergency Basis.
There is no change to the 9% VAT rate for the tourism sector in 2017.
National Minimum Wage
The NMW will increase from €9.15 gross per working hour to €9.25 gross per working hour.
No changes to PRSI rates or thresholds were announced.