Simulating the Irish Tax-Transfer System in Eur6 Cathal O’Donoghue 1 June, 1998 1. INTRODUCTION.............................................................................................................................. 2 2. THE IRISH TAX TRANSFER SYSTEM ........................................................................................ 2 3. DEFINITION OF THE VARIABLES AND TRANSFORMATION OF THE DATASET ....... 12 4. VALIDATION.................................................................................................................................. 12 REFERENCES ..................................................................................................................................... 13 1 Address for Correspondence: Sidgwick Avenue, Cambridge CB3 9DE. Email: Cathal@econ.cam.ac.uk. This paper is part of the output of the preparatory study for EUROMOD: an integrated European tax-benefit model financed by the Targeted Socio-Economic Research programmes (CT95-3009) of the European Commission. It relies on national micro-economic data sets from four countries. Data for this module is taken from the 1987 Survey on Income Distribution, Poverty and the Usage of State Services which have been made available by the Economic and Social Research Institute. The ESRI does not bear any responsibility for the analysis or interpretation of the data reported here. Thanks are due to country respondents who participated in the project: Paolo Bosi, François Bourguignon, Tim Callan, Hardy Hanappi, Hans Hansen, Anders Klevmarken, Jacques Lecacheux, Magda Mercader-Prats, Danièle Meulders, Carlos Farinha Rodrigues, Nicola Rossi, Aino Salomäki, Panos Tsakloglou, Koen Vleminckx, Klaas De Vos, Gert Wagner, Walter Wolf and their colleagues. The author is also very grateful for comments made by James McBride, John Walsh, Francesca Utili. The usual disclaimer applies.