Budget 2027 announcements. Implementation dates vary. · By K Imports

Budget 2027: Income Tax bands and credits

The €46,500 single band, married bands, €2,125 main credits and €2,050 Home Carer Credit explained.

Sources checked 2026-10-07.

Who it affects and when

Audience: PAYE employees, self-employed earners and jointly assessed households.

Timing: Announced for the 2027 tax year, from 1 January 2027.

Standard-rate bands: The 20% band increases by €2,500: single taxpayers €44,000 to €46,500; qualifying single-person child carers €48,000 to €50,500; married or civil-partner households with one income €53,000 to €55,500. Income Tax rates remain 20% and 40%.
Two-income households: The €55,500 base band can increase by the lower of €37,500 or the lower earner's income. It is not automatically a €93,000 transferable band for every couple.
Main credits: Personal, Employee and Earned Income credits each rise by €125 from €2,000 to €2,125. The Home Carer Credit increases by €100 from €1,950 to €2,050. Credit eligibility and the amount of tax available to offset still matter.

Select the tax year and assessment type before comparing take-home pay.
Keep Income Tax credits separate from deductions such as pension contributions.
Include USC and PRSI changes before treating an Income Tax reduction as a net-pay increase.

Band change alone: Moving €2,500 of income from 40% to 20% reduces Income Tax by up to €500 where the full band extension is used. This excludes credit, USC and PRSI effects.

The supported 2027 announcement profile is available in these tools. It excludes estimates above the unresolved USC boundary of €70,044 per earner.