Michael Healy-Rae (Kerry, Independent) | Oireachtas source

I move amendment No. 2:

In page 10, between lines 8 and 9, to insert the following:

“Report on abolition and replacement of universal social charge

3.The Minister shall, within three months of the passing of this Act, produce a report on abolishing the universal social charge for all those earning less than €70,000 per year and replacing it with a national solidarity tax on the incomes of those earning in excess of €120,000 per year and on the profits of companies whose net profits exceed €1,500,000 per year.”.

The other members of the Rural Independent Group and I, along with Deputy Boyd Barrett, wish to propose this amendment. We believe that the current rule is unfair. We think this would be a fairer way to deal with the USC. We are mindful of small business. We want to protect and grow it. We believe that if a business has a net profit exceeding €1.5 million per year, it could shoulder a burden more fairly than people who are on a lower income. When we talk about lower incomes, we are talking on people on a broad range of incomes. We are looking at people on incomes of €50,000 to €60,000, or less, and at the ever-increasing basic living costs, including for energy, heat, and fuel. It is unprecedented. I have been the holder of a high carbon licence for more than 30 years, in other words, selling petrol and diesel, and I have never seen such a spike in costs for the customer as we have seen over the past 12 months. We are quickly heading to €2 per litre, which is having a significant knock-on effect on the price of everything, because everything in this country comes by wheels. Nothing falls out of the sky. There is a massive knock-on effect on the cost of living, which is why we have to look at how we are taxing people and at the universal social charge. We have to try to be fair and equitable.

I thank the Minister for the work that he has done to try to protect small businesses and for the work during the pandemic, when, if not for the concerted effort of the Minister and others, thousands of small businesses would have gone to the wall.

Who am I talking about? I am talking about the small shopkeepers, small publicans, the hairdresser, the beauty salon and the small retailers. They would have been gone, only for the imaginative supports that were in place. Even though I come along and give out to the Government and to the Minister, I will also thank and compliment people when I believe they are doing their best. That is why we are putting forward this proposal in good faith. I hope the amendment will gain and gather support.