How is usc charge calculated

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This Revenue cookie is set as a session cookie and will be deleted once you close this browsing session. YouTube may set cookies directly according to YouTube's own cookies policy. They will deduct and pay it to Revenue on behalf of employees. Revenue will notify employers of the USC rates and thresholds to be applied for all employees. You should tell Revenue of any changes in your circumstances for example, if you get a medical card.

If you have a question about this topic you can contact the Citizens Information Phone Service on 07 Monday to Friday, 9am to 8pm. You can also contact your local Citizens Information Centre or Request a call back from an information officer. Introduction The Universal Social Charge USC is a tax on income that replaced both the income levy and the health levy also known as the health contribution since 1 January Rules Income liable for the USC The Universal Social Charge is tax you pay on gross income, including notional pay notional pay is a non-cash benefit, such as benefit-in-kind , after any relief for certain capital allowances.

There are a number of other exemptions. Redundancy payments Statutory redundancy payments are exempt from the charge. Maintenance payments How maintenance payments are treated for Universal Social Charge purposes depends on whether they are voluntary payments or legally enforceable payments.

Voluntary maintenance payments payments paid under an informal arrangement : The spouse making the payments does not receive exemption from the Universal Social Charge on the portion of their income that they pay as maintenance. Legally enforceable maintenance payments payable under legal obligation : The spouse making the payments is entitled to receive an exemption from the Universal Social Charge on the portion of their income on the maintenance that they pay, either directly or indirectly, to their spouse.

There is no exemption for any portion of the maintenance payments paid towards the maintenance of children. An employee wishing to claim Universal Social Charge exemption for legally enforceable maintenance payments throughout the year may either give the information required to their payroll office, or they can apply to Revenue at the end of the year to claim any refund of Universal Social Charge due.

The spouse who receives the payments is subject to the Universal Social Charge on the portion of the maintenance payments that they receive in respect of themselves. Any portion of the maintenance payments paid towards the maintenance of children is not subject to the Universal Social Charge.

Pensions Occupational pensions are subject to the Universal Social Charge, but Department of Social Protection pensions or similar pensions from abroad are not. Self-employed people Self-employed people make a payment of USC along with their preliminary tax payment, and any balance will be collected when the final assessment issues.

Page edited: 13 October Related Documents Help with low pay Tax and social welfare assistance is available for low income earners and their families. When will Thesaurus Payroll Manager be available?

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