Trevor Ó Clochartaigh (Sinn Fein)

I move amendment No. 5:

In page 6, between lines 30 and 31, to insert the following subsections:

"(3) This section shall not be commenced until such point as the Social Inclusion Division of the Department of Social Protection have had carried out a poverty impact analysis study. Such a study will have regard to---

(a) the impact of the household charge on the household's income,

(b) whether the charge would be likely to cause deprivation,

(c) whether the effect of the charge would be such as to cause people to be deprived of two or more goods or services considered essential for a basic standard of living from the following 11-item index developed by the ESRI---

(i) two pairs of strong shoes,

(ii) a warm waterproof overcoat,

(iii) buy new not second-hand clothes,

(iv) eat meals with meat, chicken, fish (or vegetarian equivalent) every second day,

(v) have a roast joint or its equivalent once a week,

(vi) has not needed to go without heating during the last year through lack of money,

(vii) keep the home adequately warm,

(viii) buy presents for family or friends at least once a year,

(ix) replace any worn out furniture,

(x) have family or friends for a drink or meal once a month, and

(xi) have had a morning, afternoon or evening out in the last fortnight, for entertainment,

(d) whether a charge on households which would have regard to the income of a person may be more appropriate.

(4) This section shall not apply to those who own a residential property, and whose annual income is less than €75,000.".

Téann an leasú seo go croí an scéil arís, ó thaobh an chumas atá ar dhaoine chun táillí agus eile a íoc, in gcomhthéacs na cána breise seo a bhfuil an Rialtas ag iarraidh brú ar mhuintir na tíre. Táimid ag moladh nach leanfaí ar aghaidh leis an rannóg seo go dtí go bhfuil torthaí na hanailíse curtha i bhfeidhm.

This goes to the heart of the story of the fee that is to be imposed on all the households of this country. This flat-rate tax is very inequitable because it does not take into consideration the financial situation of the people or families in question. Sinn Féin is suggesting in this amendment that section 3 shall not be commenced until such a time as the social inclusion division of the Department of Social Protection has carried out a poverty impact analysis study which takes account of the impact of the household charge on the income of the households concerned. Sin an slat tomhais atá ag an Institiúid Taighde Eacnamaíochta agus Sóisialta agus ag an Aontas Eorpach. Sin iad staitisticí na n-eagraíochtaí sin ar chaighdeán maireachtála. Sin a úsáideann siad maidir le bochtanas agus is mar sin a dheiseann siad bochtanas. Táimid ag rá nár chóir go mbéadh ar dhaoine bochta an táille breise seo a íoc.

These are the ESRI and European Union statistics on income and living condition standards to measure consistent poverty. The amendment provides that anybody who is within the criteria outlined here is in consistent poverty and therefore should not have to pay an extra €100 tax. If this section relating to the charges is passed, it should not be commenced until the study has been carried out by the Department and the social inclusion division. The amendment provides that the charges should not be imposed on households unless there is regard to the income of the person. Again, we are taking account of the income of those families. It also provides that the section shall not apply to those who own a residential property and whose annual income is less than €75,000. Senator Landy found this laughable earlier, which is very serious. We are saying that anybody who has an income of €75,000 or less and has a family and so forth is not very wealthy by any means, and anybody who has an income above that is in a better position to pay an extra charge.

Our argument is, first, that we do not agree with a flat rate tax. We would have opposed it but we would have been ruled out of order, as the Minister is aware. We suggest therefore that if the Government proceeds with this, it must be on the higher income earners whom we consider to be those on incomes above the €75,000 threshold. That is the reason we put forward this amendment. It is extremely important. These are the standard measuring tools used by the ESRI and the European Union to assess whether a family or person is living in consistent poverty. There are many people in Ireland suffering from consistent poverty at present and they should not be obliged to pay this extra €100 tax.