The Government will finally outline its plans, in relation to how it will raise funds to pay for essential services and amenities in the coming year, when Finance Minister, Mr. Michael Noonan, T.D., unveils his budget today, Wednesday.
There has been considerable speculation for months now as to the contents of the budget - and how it will impact on hard pressed families and individuals.
In recent days, however, much has been revealed and, if reports are correct, the taxpayer faces a plethora of increases across a broad spectrum of activities.
A 0.2% household tax is widely predicted, with little protestation from Government that the speculation is off the mark, and it has also been claimed in recent days that Labour have succeeded in persuading their Coalition partners that the tax should be greater for those with homes worth in excess of €1 million.
The cost for those with a home worth €175,000 will be €350 over a full year and the charge is expected to increase on the basis of valuations on a scale of €50,000 over that figure. No consideration, it would appear, will be given to the earnings within a household and a family with a home worth €350,000 will face an annual tariff of €700 – based it must be said on a 0.2% tax. The reality is, though that this figure is almost guaranteed to increase as the years go on and the household tax may well, within just a few short years, become a monumental imposition on families.
It is also worth noting that many of those who built imposing homes during the boom are now in negative equity, earning considerably less than they once did and unemployed in many cases. To fail to take consideration of the money coming into a household and to base the tax merely on the value of a property is hardly fair. This will be the straw that breaks the camels back in a lot of cases and people, already at their wits end, are now facing further economic turmoil.
Full report in this week’s Tipperary Star.