Pearse Doherty (Donegal, Sinn Fein)
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While I am not surprised that the Government will not accept the amendment, I am shocked at the Minister's response. He has just told the committee that no longer obliging those who earn just above the minimum wage to pay the USC, which would cost the State €78 million, would leave us vulnerable to external shocks and narrow the tax base. This is madness. The Minister is going to get rid of it entirely, not just for these individuals but for everybody. He has spent the past hour rubbishing my suggestion that the policy the Government has agreed of eroding €462 million of USC tax receipts each year will not leave us vulnerable to external shocks. However, the Minister is committed to doing not only what I want, namely, removing the lowest earners out of the USC tax net, but also all the removing other earners as well. Can the Minister explain how my proposal, which involves tens of millions of euro, leaves us vulnerable, while his, which involves billions of euro, would not leave us vulnerable and would broaden the tax base?