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Dublin: 13 °C Monday 20 May, 2013

Poser: Does the government comment on its Budget plans?

Here’s one for the Budget theorists – there are some things the government WILL rule out, and some things it won’t…

Image: Niall Carson/PA Archive

THERE’S BEEN PLENTY of speculation in the last few days that Budget 2013 could potentially include increases to income tax and cuts to social welfare payments.

Brendan Howlin hinted in the Sunday Business Post that the door could not be closed on potential increases and cuts – while his Labour colleague Pat Rabbitte declined a subsequent opportunity to do likewise.

While the EU-IMF deal already dies Ireland into broadening the income tax net and cutting tax credits, the remainder of the Budget seems to remain up in the air – particularly as Enda Kenny this morning refused to offer public comment on the Budget plans.

Given the speculation about what could be in or out, we might this small observation might be worth sharing.

Yesterday we reported on how Brendan Howlin said there were no plans to impose further cuts to ministerial salaries. In his own words, he said: “I have no plans”.

Similarly, when Michael Noonan was asked last month if he could consider introducing a ‘wealth tax’, Noonan said: “The Government does not propose at this time to introduce a wealth tax.”

But when asked if he would consider introducing a new third band of income tax – of 80 per cent, applying to earnings above €80,000 a year - Noonan was not as equivocal, and merely said:

It is a long-standing practice of the Minister for Finance not to comment in advance of the Budget on any tax matters that might be the subject of Budget decisions.

So – does the government comment on pre-Budget speculation? Sometimes it does, sometimes it doesn’t.

Read: Taoiseach: Programme for Government pledges stand

Poll: Should income tax be protected in the Budget?

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Comments (10 Comments)

  • Just means cut the lower middle incomes and the unemployed , leave the higher middle incomes, and of course their own over inflated wages untouched, expect some underhand tactics while introducing a raft of stealth taxes through the back door … Back to the dark days ………!!

    Reply
  • mel 26/06/12 #

    Two teachers deciding on the fate of the rest of us and both paid more then Obama,great little country isn’t it

    Reply
  • The problem with this budget it’s being done by people who have no idea what there doing- of all the austerity they have brought is the country any better- not really, unemployment with no prospect of real jobs- people have no money to spend in local shops leading to unemployment- prices going up gas, electric, doctors bills the same drug prices the same- so taking more money from people leads to only one thing the collapse of this country- simple economics – but they way cutting everybodys wages by 20% or so on that won’t work either cause cost of living is to high- will cause social upheaval cause people won’t be able to livenAnother problem for this government Leo Varadkers big mouth- will topple this government yet

    Reply
  • The photo of this pair makes me furious. They are wreckers.

    Reply
  • At least the Greeks are practical.
    Economist Yannis Stournaras has been appointed as the new Greek Finance Minister after Vassilis Rapanos resigned on Monday due to health problems.
    We get noonan.

    Reply
  • The only way it will change is if we get down to the real job of organising ‘something’ that will vote these ‘expensive amateurs’ out of office. Collectively we need to build that alternative.

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  • The government are really full of it. Unfortunately the way things always have been, and always will be in this country, is that the people don’t matter. It seems that the Government will comment on the budget as long as they’re discussing something that will make them look good.

    Reply
  • Seeing as the Gernans get to know about our budgetary plans before we do – the government might as well share with the people it “supposedly” represents. I feel disillusioned by this government and politics in general – they live in a world of their own and we dont seem to share it. They think that petrol is a luxury that can be avoided and that taxes can be added on indefinitely and that by creating a debate between the public and the private sectors, they can get away with not fulfilling their responsibilities to the country.

    On a side note, did anyone hear someone on the Last Word who wanted the government to reduce the tax relief to standard rates to pay for foreign aid – what world is she living in!!

    Reply
  • The only whispers we need are the ones from Germany rightly or wrongly that’s where the final decision will be made sad to say our boys and girls will have to have it approved by our paymasters

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  • all the same old same old in opposition promise what they can’t deliver to get in when in don’t make a difference just give the impression with media and spindoctor advisers how not to make a public gaffe keep away from real decisions like the need to keep public servants above 50k but can’t pay them present salaries more taxes for everyone to maintain the status quo

    Reply

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