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IMF Country Report No. 19/165

IRELAND

IRELAND—SELECTED ISSUES

June 2019

This paper on Ireland was prepared by a staff team of the International Monetary Fund [as background documentation for the periodic consultation with the member country]. It is based on the information available at the time it was completed on May 30, 2019

Copies of this report are available to the public from

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Front Matter Page

IRELAND

SELECTED ISSUES

May 30, 2019

Approved By

European Department

Prepared by Jirí Podpiera and Anna Shabunina with research assistance from Morgan Maneely and Anvar Musayev.

Contents

  • PERSONAL INCOME TAX REFORM: PAST AND PRESENT

  • A. Introduction

  • B. The Income Tax

  • C. The Universal Social Charge

  • D. Replacing the USC with a Re-calibrated Income Tax

  • E. A More Substantial Reform Could Yield Additional Benefits

  • F. Conclusions

  • References

  • FIGURES

  • 1. Personal Income Taxes

  • 2. Income Taxes

  • 3. Personal Income Taxes

  • 4. Income Tax Thresholds

  • 5. Income Tax Credits

  • 6. USC Effective Rates

  • 7. The Role of USC

  • 8. Effective Rates Comparison

  • 9. Re-calibrated Income Tax

  • 10. Marginal Effective Tax Rates

  • 11. Effective Tax Rates

  • ANNEX

  • 1. Personal Income Tax Changes

  • NON-BANK FINANCIAL SECTOR IN IRELAND: LINKAGES AND RISKS

  • A. Introduction

  • B. Description of the Funds and Vehicles Sector

  • C. Linkages with the Domestic Economy

  • D. Global Linkages

  • E. Assessing the Resilience of the Funds and Vehicles Sector

  • F. Conclusion

  • References

  • FIGURES

  • 1. Ireland’s Financial Sector Assets

  • 2. Composition of the Irish Non-bank Financial Sector

  • 3. Financial Linkages with Irish Households

  • 4. Value Added of the Financial Sector in Ireland

  • 5. Financial Sector and BOP

  • 6. Global Linkages

  • 7. Probability of Distress

  • 8. Liquidity and Maturity Mismatch in Irish Funds

  • 9. Leverage in Irish Funds

  • TABLE

  • 1. Network Matrix (Gross Bilateral Positions)

  • Collapse
  • Expand
Ireland: Selected Issues
Author:
International Monetary Fund. European Dept.