Oireachtas Joint and Select Committees

Thursday, 8 November 2012

Joint Oireachtas Committee on Finance, Public Expenditure and Reform

Pre-Budget Submissions: Discussion with Civic Society Representatives and Focus Groups

12:40 pm

Dr. Seán Healy:

As we have calculated it, it would be the same rate as the contributory old age pension. We would scrap the non-contributory old-age pension and everybody over the age of 66 would get the level of the contributory old-age pension. In no case would anybody get only part of the contributory pension, which is happening to many people because they have not made sufficient contributions over their working life, have not been in the system for long enough or for whatever the reason bars them from getting full payment. That is a fairer system and is a redistribution from the top 20% throughout the system, picking up the holes and closing them off. That is what we would do with the universal pension.

On property tax, we favour a site value tax. The easiest way to calculate it is by paying a tax on the basis of the services that have been put into the site by the taxpayer in the first place. For example, if a particular area has many services, then the site value has been increased dramatically by the taxpayer putting money into that area. Another geographical area might have little or no taxpayers support put in. In such cases we believe the site value has not been enhanced by the public purse. For example, somewhere near the Custom House-----

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