Analysis of High Income Individuals’ Restriction 2017

Nov 04, 2019

The Department of Finance report on the high-income individuals’ restriction tells us that 439 individuals were subject to the restriction in the 2017 tax year and the extra income tax yield was just over €33 million.  Compared to 2016, this represents a decrease of 82 in the number of individuals and a decrease of €5.4 million in the additional yield from the measure.  In 2010, over 1500 individuals were subject to the restriction and the additional income tax yield in that year was €80.18 million. 

The aim of the measure is to limit the use of certain tax reliefs and exemptions by those on high incomes. The restriction works by limiting the total amount of specified reliefs that a high income individual can use to reduce his or her tax liability in any one tax year. 

The measures is in operation for eleven years now and the legislation is contained in section 485C Taxes Consolidation Act 1997.  

For more details read the Report