Travelling to Work by Bus or Rail?

Posted in Tax Saving, Uncategorized

Can or do you commute by rail or bus to work? If the answer is yes why not reduce the tax on your salary and your carbon footprint at the same time?

Ianrod Eireann and Bus Eireann through their Taxsaver.ie service offer monthly or annual tickets for sale which , effectively, are “tax deductible”. Your employer has to pay for such a ticket but you would make what’s called a “salary sacrfice” by reducing you salary by an equal amount (thus re-imbursing your employer). However, you can potentially reduce the amount of PAYE, PRSI and USC normally deducted form your salary…by between a total of 31% and 51% of the cost of the ticket depending on your marginal rate of tax.”

 

Leave a Reply