Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

The Government's main promise in the 2016 election campaign was the populist promise to abolish the USC at a cost of €5 billion. That has gone. The merger with PRSI, which was argued for by the Tánaiste, Deputy Varadkar, was to reduce taxation but it has gone as well. The Tánaiste, who is the Minister's party leader, has a habit of making announcements. He announced the removal of €5 billion in tax, which has since been abandoned. He announced the merger of PRSI with the USC, which has also been abandoned. He has now announced a 30% tax rate, the cost of which, according to a reply to a parliamentary question I received from the Minister, will be €1.72 billion. Is that still on the cards? Where will that €1.72 billion be made up? The Minister's officials have recognised that it will not benefit low- and middle-income earners but that it will benefit those who pay at a higher rate, which is approximately 24% of workers. That €1.72 billion is the cost of the latest measure outlined by the Tánaiste. I do not know if the Tánaiste runs these things past the Minister before he makes these commitments. Is that tax rate still on the table? Is the Government going to proceed with it? Is it going to introduce a 30% tax rate? If so, where will the €1.72 billion come from each year?