Podcast
Questions and Answers
What is the primary purpose of Pay-Related Social Insurance?
What is the primary purpose of Pay-Related Social Insurance?
- To fund social welfare payments (correct)
- To discourage carbon emissions
- To reduce tax liability
- To increase government revenue
Which tax is levied on tobacco, alcohol, and fuel?
Which tax is levied on tobacco, alcohol, and fuel?
- Carbon Tax
- Value Added Tax (VAT)
- Sugar-Sweetened Drinks Tax (SSDT)
- Excise Duty (correct)
What is the rate of Deposit Interest Retention Tax (DIRT)?
What is the rate of Deposit Interest Retention Tax (DIRT)?
- 12%
- 33% (correct)
- 15%
- 23%
What is the difference between tax avoidance and tax evasion?
What is the difference between tax avoidance and tax evasion?
What type of tax is Corporation Tax?
What type of tax is Corporation Tax?
What is the term for the person or firm who actually pays the tax?
What is the term for the person or firm who actually pays the tax?
What is the purpose of the Universal Social Charge?
What is the purpose of the Universal Social Charge?
What is the rate of Value Added Tax (VAT) in Ireland?
What is the rate of Value Added Tax (VAT) in Ireland?
Which type of tax is paid indirectly by consumers to the government?
Which type of tax is paid indirectly by consumers to the government?
What is the purpose of Sugar-Sweetened Drinks Tax (SSDT)?
What is the purpose of Sugar-Sweetened Drinks Tax (SSDT)?
Which tax is progressive, meaning higher income earners pay a higher rate?
Which tax is progressive, meaning higher income earners pay a higher rate?
What is the purpose of Capital Acquisitions Tax?
What is the purpose of Capital Acquisitions Tax?
What is an example of a tax on wealth?
What is an example of a tax on wealth?
Study Notes
Fiscal Policy
- Fiscal policy involves government revenue through taxation
Government Current Revenue
- Government revenue is generated through two types of taxation: direct and indirect
Direct Taxation
- Taxes on income and wealth, paid directly to the government
- Examples:
- PAYE (Progressive tax on income)
- Universal Social Charge (Tax on incomes over €12,000 per annum)
- Corporation Tax (Tax on a company's profits, 15%)
Indirect Taxation
- Taxes on goods/services, paid indirectly to the government by final consumers
- Examples:
- Value Added Tax (VAT, 23%)
- Excise Duty (Levied on tobacco, alcohol, and fuel)
- Sugar-Sweetened Drinks Tax (SSDT)
- Local Property Tax (LPT)
- Carbon Tax (Charge on carbon-emitting fuels)
- Deposit Interest Retention Tax (DIRT, 33%)
- Stamp Duty (Tax on certain transactions)
Tax Terminology
- Tax Avoidance: Legally arranging tax affairs to reduce liability
- Tax Evasion: Illegally arranging tax affairs to reduce liability
- Incidence of Tax: The person/firm that actually pays the tax
Fiscal Policy
- Fiscal policy involves government revenue through taxation
Government Current Revenue
- Government revenue is generated through two types of taxation: direct and indirect
Direct Taxation
- Taxes on income and wealth, paid directly to the government
- Examples:
- PAYE (Progressive tax on income)
- Universal Social Charge (Tax on incomes over €12,000 per annum)
- Corporation Tax (Tax on a company's profits, 15%)
Indirect Taxation
- Taxes on goods/services, paid indirectly to the government by final consumers
- Examples:
- Value Added Tax (VAT, 23%)
- Excise Duty (Levied on tobacco, alcohol, and fuel)
- Sugar-Sweetened Drinks Tax (SSDT)
- Local Property Tax (LPT)
- Carbon Tax (Charge on carbon-emitting fuels)
- Deposit Interest Retention Tax (DIRT, 33%)
- Stamp Duty (Tax on certain transactions)
Tax Terminology
- Tax Avoidance: Legally arranging tax affairs to reduce liability
- Tax Evasion: Illegally arranging tax affairs to reduce liability
- Incidence of Tax: The person/firm that actually pays the tax
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Description
This quiz covers the different sources of government revenue, including direct and indirect taxation. Learn about income taxes, corporation tax, VAT, excise duties, and more.
