Ms Josephine Feehily:

I guess that it has more to do with the fact that people are not making gains on property and shares and in the markets. Those who deal in shares would have had high losses; for example, if they had shares in financial institutions, they would be offset against new, emerging gains. The fall in CGT receipts has more to do with the fact that there are not as many taxable gains. At the same time, the rate is higher and we need to watch it. Arbitrage between income tax and CGT is one of our risk areas. In some ways, the nearer it is to the income tax rate, the less arbitrage there is. In some respects, it works for us in managing the risk.