Dr. Seán Healy:

The simple answer is "No". We do not believe this is a covert call or whatever for a back door austerity situation. We set out in our document to the committee detailed proposals relating to taxation. What we look at in that context are three key issues: the need to increase the overall tax take, adopt policies to broaden the tax base and develop a fairer tax system. We have been addressing these for some time. In terms of increasing the overall tax take, we set out what we think the tax take levy should move towards. We are not talking about massive increases but ones that are well within the capacity of the economy and society to bear. In terms of broadening the tax base, we are proposing, for example, continuing to reform the area of tax expenditures and the further enhancement of procedures within the Department of Finance and the Revenue Commissioners to monitor on an ongoing basis the cost and benefits of all current and new tax expenditures. We think there should be a sunset clause on every tax expenditure but-----