USC deductions on a payslip

Motion to Abolish the USC

May 20, 20262 min read

I recently tabled a motion at Louth County Council calling for the full abolition of the Universal Social Charge (USC) because I believe it is no longer justifiable.

LMFM article: Louth County Council backs motion calling for abolition of the USC - LMFM

The USC was introduced in 2011 as a temporary emergency measure during the financial crisis. Fifteen years later, with Ireland running record budget surpluses, this “temporary” tax is still deducted from workers’ pay every month. Families and individuals in Louth are already paying Income Tax and PRSI — they should not have to pay this third layer of tax on every euro they earn.

Fine Gael promised to abolish the USC in their 2016 election manifesto, and Minister for Finance Simon Harris has spoken about reducing or scrapping it. Yet it remains, with only minor adjustments to the bands over the years.

That is why I brought forward this motion. It is about fairness, keeping more money in people’s pockets, and forcing the Government to live within its means instead of relying on crisis taxes long after the crisis has passed.

The full motion, which was passed by Louth County Council, reads as follows:

“That Louth County Council calls on the Government of Ireland and the Minister for Finance to immediately abolish the Universal Social Charge (USC) in full.

This Council notes that the USC was introduced in 2011 as a temporary emergency measure during the financial crisis. Fifteen years later, despite the emergency having long passed and successive budgets making only minor adjustments to the bands, the charge remains in place as a permanent additional tax on gross income for workers and families across County Louth and the entire country.

Louth County Council therefore resolves to write to the Taoiseach, the Minister for Finance, and all Louth TDs urging the complete abolition of the USC at the earliest possible date, and to request a full report from the Department of Finance on the steps and timeline for its removal.”

I am proud that Louth has now joined Tipperary and Leitrim County Councils in demanding real action. With multi-billion euro surpluses, the time has come to scrap this hated charge and give hard-working people a genuine break.

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