Séamus Healy (Tipperary, Workers and Unemployed Action Group) | Oireachtas source

Ireland is the eighth richest country in the world but, according to the OECD, if we take all taxes into account revenue as a percentage of GDP in Ireland is the third lowest of OECD countries. We also know Ireland has the fifth lowest revenue to GDP ratio in the European Union, the figures being 35% for Ireland and 40% for the EU. Ireland is a low tax country. The real question is why it is a low tax country. Of course, the answer to this question is that the Government and previous Governments pursued a conscious and deliberate policy of protecting the massive wealth of the rich and powerful in our society and has allowed them not to pay their fair share of taxation. We know the top 10% of income recipients pay a smaller proportion of their income in all taxes than the bottom 10% of recipients. We know the top 10% of financial asset holders now have approximately €40 billion more than they had at peek boom levels in 2006 and they are not asked to pay a cent from this windfall. We also know the share of gross income going to the top 1% of earners increased from 34% in 2011 to 39% in 2016. We also know that more than half of the increase in total income over the past five years has gone to 10% of the highest earners.

The country has become unequal and this has been accelerated in the recent budget. We know the 300 wealthiest individuals, who have €100 billion, will not pay a cent of tax on this. We also know, because the Comptroller and Auditor General told us recently, that 83 high net worth individuals, with assets in excess of €50 million each, declare taxable income of less than the average industrial wage of €36,500. This is perfectly legal but absolutely shameful.

The country is profoundly unequal and it is a far cry from the vision of equality and fairness set out 100 years ago in the democratic programme of the First Dáil that met 100 yd. from here in the Mansion House in January 1919. Will the Government bring forward legislation to remedy the situation revealed by the Comptroller and Auditor General recently whereby 83 high net worth individuals, with in excess of €50 million in assets each, declare taxable incomes of less than the average industrial wage? At present, this is perfectly legal under legislation being presided over by the Government. Will the Government introduce a supplementary budget in January to reverse the inequity of the recent budget and make the rich and powerful pay their fair share in taxation?

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