Oireachtas Joint and Select Committees
Tuesday, 18 November 2014
Committee on Finance, Public Expenditure and Reform: Select Sub-Committee on Finance
Finance Bill 2014: Committee Stage
6:20 pm
Michael Noonan (Limerick City, Fine Gael) | Oireachtas source
The first point I want to make is that the logic of the points made by the Deputy suggests he believes in a model in society where everybody gets paid more or less the same. He seems to believe that if there are variations in wages and salaries in the labour market, the function of the Government should be to equalise everybody. I do not share that viewpoint, which has been put forward before. We live in a meritocracy. I think merit should be rewarded. Different levels of salary are needed to reflect that. If there are different levels of salary, there have to be different levels of take-home pay after tax.
The second point I want to make is that the Deputy has not checked the numbers for net pay, as against gross pay. The case he is presenting is that somebody on more than €65,000 is wealthy - very well-off, if not super-wealthy - and does not really need relief. Does he know what somebody on €70,000 is paying on personal taxes between PRSI, the universal social charge and income tax?
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