By James WatsonPublished April 20, 2019 06:17:04As part of the Budget 2019, the UK government has announced a new “tax” of up to 3.5% on overseas earnings.
The plan will be a significant tax increase on the country’s top earners, who will see their tax bills go up by around 2% from 2020.
The government is also proposing to add the “double Irish” rule to the taxation of overseas earnings, which will mean the UK will be paying taxes on foreign earnings paid to the Irish government for services provided by the Irish taxpayer.
These services include those provided by Irish banks.
The Irish government is keen to make this rule permanent and will likely argue that it is essential for ensuring that businesses operating in the Irish financial sector continue to receive support from the Government of Ireland.
The Government of Northern Ireland has also announced a proposal to extend the current tax system, which is in place to protect the interests of the Irish people.
The tax reform package is likely to affect a number of sectors and sectors in the economy.
The UK is the fourth largest economy in the world.
The UK is also one of the richest countries in the G7, and has a long history of tax cuts and progressive taxation.
However, this plan will affect the most vulnerable sections of society, such as pensioners and low-income families.
The plans proposals are likely to create more hardship for low- and middle-income households, who are already struggling to make ends meet and have no other means of paying their bills.
The Government is also planning to extend some of the existing tax relief for higher-income earners, but only if these are paid in full by April 2019.
This means that people earning between £50,000 and £75,000, and above, will pay an additional tax of £1,400.
Those earning between the £50-60,000 level, and over, will be taxed on £2,300.
For those earning between over £60,001 and over this will increase to £2 to £3,300 a year.
People in the lower middle class are also likely to be hit the hardest by the new tax.
The higher the income threshold, the greater the impact the new plan will have on people in the lowest income bracket.
The thresholds are currently £24,000 for the highest income bracket, £40,000 in the second, and £30,000 across the third.
Those making between £30-50,001 a year will pay £1 to £4 more a year than people in this income bracket in 2020.
These plans are likely be challenged in court by charities and some individuals who are not Irish citizens.
The Tax Justice Network, which campaigns for a fair and progressive tax system in Ireland, has warned that the tax changes will have a “chilling effect on small businesses”.
A spokesperson for the Tax Justice group told CNBC that “there is no good evidence that the new thresholds will reduce the tax burden of small businesses or help them meet their needs”.
“Taxpayers will be hit particularly hard by the double Irish rule, as it will mean that the Government is paying the tax in a way that is unfair to all taxpayers,” the spokesperson said.
The new tax will have an impact on individuals who make less than £25,000 a year, and the threshold for the next highest-income bracket will be £35,000.
The plan will also have a significant impact on the UK’s business environment, with the Irish Government likely to argue that the change is necessary to maintain the integrity of the system.
Businesses that have previously had to pay tax in Ireland will also be impacted by the move.
It will be worth noting that the UK has an estimated revenue of €6.5 trillion ($8.4 trillion) from the Irish tax system.
The main beneficiaries will be those with large assets, including property and investments.