Revenue writes to thousands of Donegal carers informing them they may face tax bills

Inishowen Labour Councillor Martin Farren has called on the Ministers for Social Protection and Finance to immediately review the ‘appalling’ treatment of carers’ payments, as thousands of carers nationwide receive letters from Revenue.

Around 34,000 carers have recently received letters confirming that Carer’s Allowance and Carer’s Benefit payments are taxable.

Cllr Farren says this has caused serious financial and emotional stress to families who already carry an enormous burden.

“This is an appalling situation that has blindsided carers across Inishowen. Carers’ Allowance is means-tested, and for many people that created a genuine and understandable belief that they did not owe tax,” he said.

"Now more than 34,000 carers have opened letters from Revenue telling them they may face tax bills going back years. These are people who have given up work, or reduced hours, to care for a loved one. They are already under incredible pressure financially, emotionally and physically.”

READ NEXT: Man who fails to pay for parking hit with €288 in fines and court costs

The Moville politician says we also need to be honest about the scale of the service provided by carers, who save the State billions of euro every year.

“Carers in Inishowen are effectively delivering their own health service in homes and in their community, yet they are treated as an afterthought when it comes to basic fairness and recognition”.

“This situation did not arise overnight. For years, carers’ organisations have warned that taxing carers’ payments makes no sense and causes confusion and distress”.

“Comparable social welfare supports, including Jobseeker’s Allowance and Disability Allowance, are not taxed as these are means-tested payments. There is no justification for singling out carers for worse treatment, particularly when the State depends so heavily on the care they provide to keep the health system functioning”.

“My Labour Party colleague, Mark Wall TD, has called for the Minister for Social Protection and the Minister for Finance to urgently review this matter, to halt any retrospective tax demands linked to carers’ payments, and to bring forward a permanent solution that removes carers’ payments from the tax net.”

Cllr Farren added: “Government must act now to stand up for carers in Inishowen and across the country, and recognise that the care they provide is not just invaluable, it is essential to the functioning of our health and social care system.”