Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance) | Oireachtas source

We have had the discussion and we differ, but it is simply not accurate to say that what we are proposing is regressive. It is just not accurate. We are very clear in what our proposal is, namely, this wealth tax will target the wealthiest 5%. By the way, we do not do year-on-year studies of this distribution but they were done by groups like TASC and, at one point, the CSO, which does not seem to do this on a regular basis, as it should. They both came up with figures that the top 10% had 53% of the wealth and the top 5% had about 37% of the wealth. We are proposing to design a wealth tax, or at least have a requirement arising out of this Bill that the Government would look into a serious study on how it could design a tax which would be directed at that group of people, excluding the family home.

Is it impractical to do it, as the Minister suggests? Is it very difficult? We could answer those questions if we seriously looked at the matter but we do not want to look at the matter. What I do know is that the Central Bank has managed to produce figures on it, so somebody has some information about where the wealth is. Somebody has that because every single quarter the Central Bank produces its quarterly report and is able to tell us how much household wealth there is and how many liabilities there are. Also, at various times, although not constantly enough, in my opinion, we have had the CSO and groups like TASC do actual studies of the distribution of that wealth.

By the way, their findings are largely in line with other global studies in the western world. There is a bit of difference here and there but, largely, that inequality in the distribution of wealth is fairly consistent around the western world. Piketty did a study of it, as the Minister knows very well because he has read the book.

He knows that it is a very definite pattern of concentration of wealth that has accelerated over the past 20 to 30 years and we think that we should seriously look at it and study it. Then we can answer the question as to whether it would be too difficult to do it. I do not believe that. The argument is always made that it is too difficult to tax the rich but it is really easy to tax the workers and that is what we do. That is unfair and we should at least try to get the facts on it so that we can have an informed debate. It is simply inaccurate for the Minister to say that what we are proposing is regressive. The local property tax raises just over €500 million per year. What we are proposing would raise a hell of a lot more than that, multiples of it, from the people at the top. They might benefit by a small amount from the abolition of the property tax but what is the highest amount that multimillionaires in mansions pay in property tax? What is the highest amount being paid? It is around €1,000 per year. They might benefit by that amount but under our proposals, they will pay a hell of a lot more on the other side with a wealth tax, although it is still very affordable from their point of view. They would also, as per an amendment we will be discussing soon, pay an additional property tax on properties other than their principal private residence. Just for factual accuracy, we are not proposing something that is regressive.