Dáil debates

Friday, 9 November 2012

Tax Transparency Bill 2012: Second Stage [Private Members]

 

12:10 pm

Photo of Patrick O'DonovanPatrick O'Donovan (Limerick, Fine Gael) | Oireachtas source

I thank the Acting Chairman for his facilitation. While I welcome the Bill, I share some of Deputy Michael McGrath's concerns about the costs associated with conveying the information. We could risk breaking social cohesion with those who, for whatever reason, do not pay tax. They might be unable to work, unemployed, retired or immigrants and should not be made to feel as if they are out of the mix. I caution against the risk of excluding such people.

The Bill has good aspects. For example, a VAT calculator that is available online is a good idea. Why is the Committee of Public Accounts not doing more of this type of work to ensure that the level of information in question is conveyed to the taxpayer? Recently, more than €4 million of taxpayers' money in an Irish Aid programme was accounted for by the Ugandan public accounts committee system yet was not identified in Ireland. Are the State's internal auditing and accounting systems strong enough? This issue relates to the central tenet of the Bill.

In the UK last March, the Chancellor of the Exchequer published and received cross-party support for proposals similar to this Bill. We are moving in that direction, but more discussion is necessary on Committee Stage. The role of the Committee of Public Accounts is vital in examining where Departments spent their money. This Chamber should see a greater level of engagement with Ministers on line-by-line expenditure.

I welcome the spirit of the Bill. It shows a willingness on behalf of the Government to facilitate Government backbenchers who want to introduce legislation. However, I take on board the Minister for Finance's statement that one must be cautious about adding an unnecessary layer of bureaucracy and cost. The Bill is meant to be a cost-saving exercise. I welcome the Bill and look forward to discussing it on Committee Stage.

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