Seanad debates

Wednesday, 12 May 2010

7:00 pm

Photo of Pearse DohertyPearse Doherty (Sinn Fein)

I am thankful to the Minister for his reply although disappointed. A grassroots campaign has been established in Donegal in the past couple of weeks in response to an operation by customs officials in areas such as Inishowen. Complaints have been made in regard to the manner in which people were stopped and questioned, which is perhaps a separate issue.

I ask the Minister to acknowledge that the figures he has provided to the House do not, in terms of an increase in excise duty on fuel, petrol and auto-diesel, reflect the current tax take for this year. The Minister stated a 25 to 30 cent per litre increase on petrol and diesel would be required to replicate the loss of revenue from VRT. I want the Minister to acknowledge that this would be the loss of revenue in the years of economic boom when Deputy Bertie Ahern was Taoiseach and leader of Fianna Fáil. Replacement of the loss of revenue this year or last year would be only one third of that amount. I can supply the Minister with figures in this regard as provided by the Commission on Taxation. It states, for example, that a 1 cent increase on petrol and diesel over the next ten years would for each year accrue €187.7 million in respect of petrol and €193.5 million in respect of diesel, amounting to €381.2 million, which is in excess of the €375 million in VRT taken in last year and the estimated €365 million for this year.

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