Terry Brennan (Fine Gael) | Oireachtas source

I wish to raise an issue that has been raised with me on doorsteps in recent times, namely, our rate of income tax. Our rates are far too high and I believe they must be reviewed. There will be an opportunity to review them in the forthcoming budget and that must be done. The income tax rates act as a disincentive for educated young people. I had occasion on Monday night last to speak to two young siblings who hope to graduate this year. They both want to emigrate to gain experience abroad. However, another reason for emigrating was the rate of tax that they would have to pay in this country. One is emigrating to the United Arab Emirates where tax is not payable and the other is going to Canada. It is a pity. I am sure I am not the only politician to have discovered in recent weeks that this is a serious issue. We must review the overall tax rates and give young people the opportunity to work at home and contribute to their own Exchequer. I believe and hope that it is the Minister for Finance's intention to review the tax bands in the forthcoming budget and I would encourage him to do so. Middle income earners and many retired people, many of whom have paid their rightful dues for 40 years or more, are paying high taxes here. Tax is paid at 52% on every €1 over €32,800.