Government Announce €3.8bn in cuts and tax increases in Budget 2012

The Government announced on Friday that spending cuts and tax increases totalling €3.8 billion will be introduced in Decembers budget. €1.6bn will be in the form of tax increases, however the Minister for Finance Michael Noonan has stated that there will be no changes to income tax rates, bands or credits next year, with revenues coming from other sources. Changes to the VAT rate, property charges including the €100 household charge and carbon charges were possible areas for taxation, the Minster said yesterday.

Upcoming Budget Changes - Budget 2012

After a meeting with Revenue earlier this week, updating of the EuroPayX and PayDay payroll software is proceeding. Incorporating all the amendments due to the change in the calculation of Universal Social Charge to cumulative basis from week one. This not only means changes to the calculation of Universal Social Charge but also to the following:

• P60 will now show Universal Social Charge details, negating the requirement to produce a year end USC certificate.
• The P2C Tax Credit import is being modified to import the extra cumulative information for USC
• P45's will now also include USC cumulative information, also it will no longer be possible to return a P45 for any employee without a PPS number.
• Numerious other changes to screens and reports within the payroll software

As more information becomes available updates will be posted.