• Increase in motor tax from 1 January. • Reduction in the VAT rate on district heating from 21 percent to 13.5 percent, to benefit businesses. • Farmers to be able to claim a VAT refund on wind turbines purchased from 1 January 2012. • Broaden the base for
pay related social insurance (PRSI) through removal of the remaining 50 percent employer PRSI relief on employee pensions. • Broaden PRSI base to cover rental, investment, and other forms of income from 2013. • Increase the rate of notional distribution on the highest value Approved Retirement Funds and similar products to 6 percent. • Increase the rate of tax on the transfer of an ARF retirement fund on death to a child over 21 from 20 to 30 percent. • Abolish the "citizenship" condition for payment of the Domicile Levy so as to ensure that "tax exiles" cannot avoid it by renouncing their citizenship. • Increase the current rate of Capital Acquisitions Tax from 25 to 30 percent after Budget Day. • Increase Capital Gains Tax from 25 to 30 percent after Budget Day. •
carbon tax not to be applied to solid fuels. • Household charge of €100 can be paid in installments. • Increase in carbon tax to be applied to petrol and auto diesel from midnight following Budget Day (1½ cents per litre). • Reduce the Group A Tax-free threshold for Capital Acquisitions Tax from €332,084 to €250,000. • Increase
deposit interest retention tax (DIRT) from 27 to 30 percent. • VAT increased by 2 percent. Government commits to not raise the standard rate of VAT beyond 23 percent during its lifetime. • 300,000 people to move from liability to pay Universal Social Charge. • Universal Social Charge: From 1 January, exemption level to be raised from €4,004 to €10,036. Revenue to collect USC on a cumulative basis in 2013. • Additional new tax measures of €1 billion. • No increase in income tax. • General government deficit to be 10.1 percent of GDP in 2012 and 8.2 percent in 2013 - both below targets in troika bailout. • A property relief surcharge of 5 percent to be imposed on investors with an annual gross income over €100,000. • Increased mortgage interest relief for first time buyers buy from Budget Night up to a year, but nothing if wait until 2013 • Non-first time buyers in 2012 to benefit from mortgage relief at 15 percent instead of 10 percent proposed by the last Government. • Mortgage interest rate relief increased to 30 per cent. • No changes on residential stamp duty. • Capital Gains Tax incentive also announced; modifying retirement relief from Capital Gains Tax so it better incentivises the timely transfers of farms and businesses before the current owners reach the age of 66. • Fifty percent stock relief for all registered farm partnerships and 100 percent stock relief for certain young trained farmers forming such partnerships. • Stamp Duty on commercial property including farmland to be cut by 6 to 2 percent from midnight following Budget Day. • Nine per cent rate of VAT for tourism extended to open farms. • The first €100,000 of R&D expenditure of all companies will be allowed on a volume basis for the purpose of the R&D Tax Credit. • Corporate tax exemption for new start-up companies to be extended for the following three years and to be available for companies that commence trading in 2012, 2013 and 2014. ==After the budget==