Tax on low income earners hard to support, says Ryan

FORMER GREEN party minister Eamon Ryan said he found it “very difficult to support provisions in the Finance Bill bringing those…

FORMER GREEN party minister Eamon Ryan said he found it “very difficult to support provisions in the Finance Bill bringing those on lower incomes into our tax system and cutting social welfare”.

In his first speech to the current Dáil from the Opposition benches, Mr Ryan said backing such taxes “goes against the grain of the Green Party because we believe a society that is more equal in its pay is more stable and successful. Therefore, it is not easy to do this. However, I challenge anyone to show honestly how it is possible for us to start balancing our budget without having to take some of these measures.”

Thanking the main Opposition parties for agreeing to the schedule for the Bill, he said: “It is significant that four parties in the House were able to come together to agree in this respect. After the budget, I told the House that it was time we started acting as a parliament with a certain respect for all parties. In my 10 years as a Deputy, it has been my experience that there are good people and people with failings in each party, including my own. We do not do our work or the role of politics a service by tearing lumps out of one another.”

He expressed concern that the economic assessment of the Section 23 reliefs “should not preclude the introduction of such taxes this year” and he understood that the Minister for Finance “intends to introduce an amendment to take this possible. This is important to the Green Party. It is a recognition that we must be progressive and look to the wealthy people in society to pay their fair contribution.”

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The former minister for communications, energy and natural resources said: “It is time for plan B and the politics of outrage and anger is not that plan. Despite the difficult circumstances, any Member who has the good fortune to be appointed a Minister in Government – I recommend that anyone offered a place should take it – will be forced to operate in a very different financial situation. The actions of the Opposition parties yesterday and today show they are beginning to realise this.”

Mr Ryan said it was important to pass the Finance Bill “as it will help to create an economic environment which may help a new Government as work remains to be done and real risks and challenges still exist”. He added that “the country must enter into international negotiations and continue to complete the work of restoring our banking system”.

Marie O'Halloran

Marie O'Halloran

Marie O'Halloran is Parliamentary Correspondent of The Irish Times