Summary of Michael Noonan’s Budget 2013 measures

Finance Minister Michael Noonan has been presenting Budget 2013 to the Dail.
It contained tax raising measures amounting to one and a quarter billion euro and cuts in spending amounting to 2.2 billion.
Central to budget was the much flagged property tax. It will kick in next summer and will be charged at 0.18 percent of the value of your home. A so called mansion tax for houses valued at over a million euro will also be introduced at a rate of 0.25 percent.
Local authorities are to be given the power to vary the tax by 15 percent above or below the national rate to better match their funding needs.
But there’s bad news if you own more than one house. Next year you will have to pay the second home charge along with the new property tax. The second home charge will be phased out in 2014.
There are to be changes to PRSI contributions. The 127 euro weekly tax free allowance is to be scrapped with PRSI being paid on all income instead.
Landlords and people with shares will not escape either. PRSI is now to be charged on rental income and share earnings.
Pensioners are also in the firing line. Those with high incomes are to be hit with a 3 point increase in the Universal Social Charge on incomes over 60,000 euro.
Savers will see DIRT on interest go up to 33 percent from thirty, other capital taxes such as capital gains tax are also being increased
Motor tax is going up as is VRT however petrol and diesel have been spared any rise.
Some of the so called old reliable’s haven’t escaped either. Cigarettes are to increase by 10 cent per pack of 20, A pint of beer or cider will increase by 10 cent from Midnight but if your a wine drinker, a bottle is going up by one euro.