Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 63: To ask the Minister for Finance his response to proposals to introduce a property tax to help fund local authorities; and if he will make a statement on the matter. [22402/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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As I have stated previously, I believe there is little or no scope for increases in marginal income tax rates, so it will be necessary to examine other ways of broadening our tax base. A property tax is one means of doing so. As the Deputy will be aware, the Government has already successfully introduced a levy on second homes which yielded of the order of €63 million in 2009 and €18 million to date in 2010. The Deputy will be aware that the introduction of this more general property tax represents a major structural change in the tax system and as such would have to set in the wider context of the overall tax burden on individuals, the compelling need for base broadening measures and current market conditions. In terms of moving to a more general tax on property, the form of taxation will have specific regard to the commitment in the Renewed Programme for Government to introduce a Site Valuation Tax for non-agricultural land, following the necessary valuation and registration process.