Seanad debates

Thursday, 4 December 2014

Finance Bill 2014: Second Stage

 

12:20 pm

Photo of Marie Louise O'DonnellMarie Louise O'Donnell (Independent) | Oireachtas source

I do not have a great knowledge of finance, barring its language of obfuscation and also what I know because I owe so much to the bank. I want to ask two disparate questions and the Minister may be able either to think about them or answer them.

On page A.5 of budget 2015, an outline was provided of the universal social charge, USC. People on incomes of between €0 and €12,000 are to pay 1.5% of USC and people on incomes of between €12,000 and €17,000 are to pay 3.5%, but people on incomes of between €17,000 and €70,000 are to pay 7%. That is ridiculous. The Finance Bill changed this somewhat. On the first €12,000, one will pay 1.5%. On the next €5,000, one will pay 3.5%. These figures are on page 10. On between €17,000 and €52,468, one will pay 7%. The reduction from €70,000 is not enough. One cannot ask someone who is earning €20,000 to €49,000 to pay the same as someone who earns €52,000. The USC should be graduated or more progressive. I mentioned this at the time because every Senator - our basic salary is €65,000 - will now pay 8%. I would like an answer and to know the Minister of State's thoughts on the matter. The gap between €17,000 and €52,000 is too wide. It was €70,000, if I am not confusing him. It is now €52,000 in the Bill, but the gap is still too large.

Perhaps I have not read the Supplementary Estimates - the sums now required by Departments - correctly, but the arts and culture section - as I call it, the islands and the whales - is not included. Does it not need any money? Why is it not listed? The arts community does not believe it has enough money for anything. I was wondering about this. Is that Department the only one that does not need extra money?

Those were my two questions. I will leave the rest to Senator Kelly.

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