In Budget 2018, it was announced that a working group would be set up to examine and report on the options for the amalgamation of USC and PRSI . The working group has now been established. It is chaired by the Department of Finance and includes representatives from the Department of the Taoiseach, Public Expenditure & Reform and Employment Affairs and Social Protection.
The terms of reference of the group are to examine and present options for the amalgamation of PRSI and USC in a manner which seeks to address:
1. The need to preserve the tax base having regard to the need for certainty, equity, and ease of compliance and administration,
2. Current and future funding challenges facing the Social Insurance Fund,
3. Issues likely to arise from a phased implementation over a number of years of the new instrument,
4. Simplification of the personal tax and social insurance systems.