Martin Conway (Fine Gael) | Oireachtas source

I rise to speak today for two reasons. First, it was appalling to read reports over the weekend that the Revenue Commissioners are yet again using a big stick against people who find themselves in financial difficulty, this time threatening to remove mortgage interest relief for people who unfortunately find themselves in arrears with their mortgage payments. That is unacceptable, unnecessary and retrograde. It gives people who are down on their knees a further kick. The Minister for Finance should immediately instruct the Revenue Commissioners to issue a clarification statement on their exact approach and to adopt a fair and reasonable approach to people who are trying their best but who are at the end of their tether.

Overall, many elements of the budget, although they are painful, had to be included. Personally, however, I would have favoured an extra 3% in the universal social charge for people earning not only more than ¤100,000 but on earnings over ¤80,000. When the Minister for Finance is drafting the Finance Bill perhaps he would consider introducing a 3% increase in the universal social charge for earnings between ¤80,000 and ¤120,000 and a 5% increase for earnings over ¤120,000. It is appropriate that taxes such as the capital acquisitions tax and capital gains tax are being increased from 30% to 33%. I believe they should have been increased to 35%. If people are earning such wealth in this country, they should pay their fair share of taxes. What is the difference between 33% and 35% to somebody who is selling a house at a reasonable profit or somebody who is making a great deal of money from dividends? It is an extra 2% but it would help people at the lower end as it means it would be possible to reduce the effects on them. Although it might not be agreeable to all members of my party, I believe in taxing wealth. During a recession, in particular, when people are struggling, the wealthy should pay over and above their fair share. They should suffer the same pain. I have no hesitation or qualms about saying that here.