THE TÁNAISTE HAS defended taxation measures to be introduced this year as part of Budget 2013.
Speaking in the Dáil this morning, opposition leaders raised concerns about the taxation of maternity benefits and the mechanisms which will be used to ensure compliance with the property tax.
Fianna Fáil’s Micheál Martin described the maternity tax as “anti-women”.
Eamon Gilmore claimed that the tax was not a “cut” and noted that women will receive the same salary when the changes are implemented.
“A woman on maternity benefits will continue to receive the exact same take-home pay as she did while working.”
He confirmed that the benefits will remain exempt from the USC and PRSI, adding that the move brings the income “in line with all other social welfare benefits”.
On the property tax, the Tánaiste confirmed that Revenue will send out letters to 1.6 million homes next week to give the initial estimate of the property’s value and property tax required.
Mary Lou McDonald criticised the government for asking people to pay a tax with money that “they don’t have”. “Do you grasp that?” she asked before calling on Gilmore to defend the measures that will be used to ensure compliance.
The Revenue Commissioners will have the power to take money at source from bank accounts, as well as PAYE workers and social welfare payments.
Gilmore said such moves are “well-established mechanisms” in terms of tax collection.
In a loud exchange between the leaders, the Tánaiste claimed Sinn Féin’s “hypocrisy has no boundary” as it has “no difficulty” with the larger property tax north of the border.
He also questioned whether the party would support a campaign to not pay the tax or encourage householders to be tax compliant.
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