My local TD shared yesterday that both the 350 payment and the wage subsidy scheme are taxable.
For my dp, he is on the wage subsidy scheme. This is paid to him by his employer each week along with a little top up so is being taxed there and then by the payroll team, as his usual wages would be. If this is the way others are being paid the wage subsidy scheme, then the amounts hitting peoples bank accounts will be after tax has been paid.
For the 350 payment, a large number of people shouldn't be affected by it being taxable.
Eg if you usually earn 200 per week when working:
Gross pay for the year 10,400
Tax @ 20% 2080
Tax credits 3300
Tax due Nil
So an increase in payment from their normal wage of 200 to 350 for 6 weeks would have this effect:
Gross pay for the year 11,300
Tax @ 20% 2,260
Tax credits 3,300
Tax due Nil
I dont think it will amount to large tax bill's/ or any tax bill for most. it had also been agreed that this would be reviewed after the year end, and next years tax credits can be reduced by the amount so the under payment would be collected over 52 weeks.