Families in Ireland pay almost zero tax, according to an OECD report published yesterday.
A couple here with two children on an average wage end up paying effectively almost zero tax, the lowest in the developed world.
Maurice Nettley, Head of Tax Data and responsible for the publication with the OECD Spoke to Lunchtime with Jonathan Healy today about the findings.
On the family tax he stated: "What we're taking into account here is the income tax paid after the tax credits, the USC and the social security contribution payments. What we're deducting from that is the child benefit... and also the family income supplement.
"Here we are only talking about taxes on labour income, we're not talking about tax on anything else.
"The study that we have done doesn't include childcare costs and therefore I wouldn't like to commit myself on whether Irish workers were disadvantaged in that respect.
Jonathan Healy asked did it surprise him how little tax people are paying, to which Mr Nettley replied: "I don't think we're surprised, I think that we would take the information that we have been given."
