Universal Social Charge (USC)

USC is a tax that is payable on your employees’ income, including notional pay. Notional pay, or benefit in kind, is the value of any taxable benefits you give to your employees. Some types of income are exempt, for example, Department of Employment Affairs and Social Protection (DEASP) payments.

You will receive a Tax Credit Certificate (P2C) for each of your employees. This will tell you what USC rates and cut-off points to apply.

If you have not received 2018 Tax Credit Certificates in time for the first payroll(s), you should do one of the following:

  • continue to use the 2017 USC cut-off points and apply the 2018 rates,
  • continue to apply USC exemption from 1 January until the 2018 P2C is received, 
  • apply the emergency basis of USC deduction if applicable until the 2018 P2C is received.