Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I thank the Minister for his reply and for giving the costings. I accept that what I am proposing would be administratively difficult to implement. An estimated cost of €77 million in 2016 is a very significant sum. Over time, however, as commissions on taxation examine the overall structure, the taxation of interest income should be aligned to the overall taxation of a person's income from other sources. It would be the fairest way to do it. It is not something that can be done overnight because it has a significant associated cost, as the Minister outlined. Nevertheless, in the longer term, it is an objective that is worth working towards. It is not fair that persons on very low incomes who have an asset that is earning interest must pay tax at 41% on that interest. I accept the changes required will take time, on which basis I do not propose to press the amendment.