Revenue's recently published updated FAQs on the Universal Social Charge (USC) clarifies the charge to USC on wages in the case where the individual has a medical card. It also confirms that the USC does not apply to Public Service Pension Reduction (PSPR) and updates the list of social welfare payments that are exempt from the USC.

The updated FAQ document clarifies that individuals in possession of a full medical card, (including a Health Amendment Act card for Hepatitis C sufferers), will only pay Universal Social Charge at a maximum rate of 4% irrespective of the level of their income from employment/pension. However, this treatment does not apply to individuals who hold other types of ‘medical card’, such as a GP Visit Card, a Drugs Payment Scheme Card or a Long-Term Illness Scheme Card. The FAQs also note at new section 1.20 that the USC does not apply to the Public Service Pension Reduction.

The USC FAQ document is published on the Revenue website www.revenue.ie.