Richard Bruton (Dublin North Central, Fine Gael)

As the Minister knows from the terms of reference, the Commission on Taxation has been asked to examine the balance achieved between taxes collected on income and other taxes. The Government has made clear its commitment in respect of taxes collected on income, that is, to reduce PRSI from 4% to 2%, to cut the standard rate from 20% to 18% and to cut the top rate from 41% to 40%. There is no reference or direction to the commission that it must honour these specific commitments. Those commitments are ignored in the terms of reference offered to the commission. Has the Government abandoned the commitments? Alternatively, is the Minister waiting to see if the Commission on Taxation approves of it? These were presented to the people as solemn commitments but now it seems the Government has no intention of implementing them and is looking for cover to quietly drop them.

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