Rersonal allowance is a lump sum “general allowance” of €8,004
The basic personal allowance is a lump sum “general allowance” of €8,004 built
into the tax tables and taxed at a rate of nil. Child allowances are granted at
various levels depending on the age and schooling status of the child.
For children at school under 16 and living with their parents, the total annual
allowance is €7,008 for each child. Interestingly, children’s grants are also paid
under the provisions of the Income Tax Act; for the first two children the
monthly grant is €184 each. Children’s grants are integrated into the tax system
in that the tax office when issuing the assessment will automatically grant the
taxpayer the more favourable of the €7,008 child allowance or the €184
monthly grant. If the allowance is more favourable to the taxpayer, the monthly
grant will be treated as a reduction of prepaid income taxes.
Certain other specific allowances and reliefs favour the elderly and disabled,
and there is also provision for tax recognition of “unusual burdens” of a
financial nature that a taxpayer is morally or otherwise obliged to accept.
EU Forecast
euf:ba18e:193/nws-01