Enda Kenny has dismissed Sinn Féin’s alternative budget, and a proposed 73% top rate of taxation, as a good way “to close down the country”.
Sinn Féin’s pre-budget submissions include abolishing water charges, along with property tax, while applying higher rates of taxation on those earning over €100,000. Sinn Féin Finance Spokesperson Pearse Doherty said Sinn Féin budget “could start to repair communities, rebuild the economy and renew society.”
Doherty stated that the budget would not mean a deviation from current deficit targets.
“The budget is fiscally neutral which as Minister Noonan has pointed out would bring Ireland under the targeted 3% deficit for 2015,” Doherty said.
The proposals centre around abolishing water charges and the property tax, while sourcing the lost income from higher earners.
Doherty said: “Domestic water charges bring in €300 million. That’s what it brings in, it’s undisputed.
“We have found €300 million to make sure that families are not penalised - families that are already hard pressed that are squeezed to their limits - that they don’t have to pay this charge.
“In the North when we stopped them, Conor Murphy faced the exact same challenge and we actually came up with a solution to deal with this.
“Our priority in Budget 2015 is to reduce the tax burden on working families and low and middle income households by scrapping the property tax and water charges,” Deputy Doherty added.
“We would remove all people earning under the minimum wage out of the USC net while keeping the exemption for households earning under 60,000 and on medical cards.”
Sinn Féin propose to prioritise investment in disability services and “tackle the scourge of emigration” by restoring the full rate for young jobseekers over two budgets, starting with €40 this year. The budget also aims to tackle the social housing crisis with a €1 billion injection from the strategic investment fund.
On hearing of the proposals Fine Gael TDs mocked Sinn Féin’s plans as destined to drive business from Ireland and “high tax and anti-job”.
Taoiseach Enda Kenny said of the proposals: : “By implementing a seven per cent tax increase three times would raise the top income tax rate to over 62%, leaving
“Leaving an incredible total tax rate of 73% when USC and PRSI is included. If you want to close down the country that’s the kind of economics you should be proceeding with, because that’s not credible and it’s not real.
Fine Gael Laois/Offaly TD and Chair of the Oireachtas Committee on Jobs, Enterprise and Innovation, Marcella Corcoran Kennedy labelled Sinn Féin “the high tax, anti-jobs party” and said Fine Gael “is the only party to manage the economy.
“Sinn Féin’s budget proposals prove what we’ve known for some time. Sinn Féin is the high tax, anti-jobs party,” Deputy Corcoran Kennedy said.
“Sinn Féin want to pile 12% extra tax onto the people who create employment in this country. They want to increase the top rate of tax by 7% and, incredibly, they also want to increase Employer’s PRSI by 5%.
“Don’t be fooled by Sinn Féin’s bogus economics. Fine Gael is the only party to manage the economy; we have proved this time and again over many decades when we’ve had to clean up the mess left behind by others,” Deputy Corcoran Kennedy added.
