Tuesday, 27 March 2012

Phil Hogan says "don't pay property tax"

I don’t know how any of you feel about the property tax?

 I, however, am sick of paying taxes of one form or another. From credit cards to VRT, to VAT and USC. Most of all though, I am sick of PAYE.

PAYE workers contribute by far the most to the tax take in this country (in 2007, €10 billion of the total income tax take of €13.5 billion).  And what happens to it?

Now we have property tax to “broaden the tax base".  Yeah . 

Or does it mean we will pay even more for no return - a godawful place madly betwixt Boston and Berlin, taking in all the worst bits  -  given the lack of commitment to decrease any of our existing taxes? 

Or maybe that's a bit cynical?

Speaking of which, those of you who feel bled dry as it is, might ponder the words of Phil Hogan, Environment Minister – the man threatening us with dire consequences if we do not pay the property tax – uttered in February 2009 (as pointed out by Gene Kerrigan in the latest Sindo).

When asked to take a 10% voluntary cut in his €110,000 TD (member of the Irish parliament)  pay , he responded:

“No. My personal circumstances don’t allow that at the moment".

There you go, then.

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Anonymous said...

Laim Smullen,

Its not going popular since
this & the last government
are by choice running the
most expensive bank rescue in
europe BUT the real question
how money would a proper or
progressive property tax raise?
accoring to this this writer
property tax would raise
$4 billion euros annually .


Besides its best to Careful what one wishs for, because the
irish property owners association
is boycotting it.

and even more Sugguestions
Sugguestioned taxs:

He claims it will bring
2 billion annually

Sugguestioned cuts:




Anonymous said...


Anonymous said...

Laim Smullen

Here Ronan lyons claims
that increasing the corporate
tax rate from 12.5% to 15% could bring 2 billion annually.

He claims it will bring
2 billion annually

Anonymous said...

if there is 1.6 million homes to pay 4 billion in property tax then that would be 2,500 euro average. so now we know where bis heading.

The Gombeen Man said...

Hi Laim, Anons.

Thing is, I don't have a problem with a property tax per se... it's just that I doubt this initiative is anything to do with redressing the skewed nature of our tax system, which sees the PAYE sector shoulder such a heavey burden. Sure, if they brought in the property tax and lowered PAYE income tax, I might say "fair enough"... but that's not going to happen. What do you think?

Interesting too about corporation tax... even if they upped it a couple of per cent it would still be far lower than our potential competitors... at least the countries with good English where the Yanks want to do business.

It's amazing our spineless government won't grasp that particular nettle.

Thanks for the links.

Dakota said...

Anon @18:14, yes exactly, it's heading for even more draconian taxation for virtually nothing in return. Can someone please tell me why I pay INCOME TAX? Oh, and by the way, where would this proposed money go? To the local authorities? Whatever way it's spelt out, the end users are going to be Bondholders...That's the reality.

If you look at the list of countries which actually pay such a tax, with the possible exception of countries like Greece, Jamaica, Chile, all are intrinsically extrememly wealthy nations, with effective and efficent services, with property sectors which reflect this underlying value. I really hate to be the one to break the bad news but, Ireland's service system is largely third world and it's property sector is under attack from it's own Government.

It's REFORM which is needed, not another draconian tax which will lampen down any further growth in the real economy. But that won't happen, as there is very little business acumen in Dail Eireann. Give the Parish Pump a Dail Ticket and be done with it. It would do a better job.

Where else in the name of God would carpetbagger politicians and puppeteer civil servants get away with lumping 3 extra years onto the retirment age, with no public reaction? Where...

Anonymous said...

Laim Smullen

I am supporting a property tax
because it will rebalance away
from PAYE sector workers on to
new from hard cash wealth such
as income tax evasion such as self
employed, oweners of property assets, stocks/shares in companies.
It allow room for future
government cut not paye and VAT, but stamp duty on on first time
Lets not forget that
during the 1980s at the time of the paye marches publicans and
farmers with huge lands payed very or no taxes because of they afford
the clever accountants.
prevously they paid house rates
but the fianna fail government of
jack lynch in 1979 got rid of them.
You could have second property pay
pay no tax on it that greens in the
last government imposed a €200 levy
on the second property.


More information on property taxs


2010/06/property-taxes-and economic-growth.html

The Gombeen Man said...

@ Dakota. I heard the other day that coppers could retire at 50! Where else would that be allowed, I wonder?

@ Laim. Sorry... I was just a bit slow getting your comment up. Thanks.

Anonymous said...

Paying property tax is bad enough but there are PRSI increases on the way. So its tax tax tax at the minute. The only way out is either to get out or get rid of the car. Maybe cancel the health insurance which is a massive risk. Every single item has tax applied. Look at the car for example. You buy the car, you pay road tax, you pay insurance (tax in there ), you put petrol in ( 50 % btax). You buy tyres ( tax). So I would say you are paying at least 1000 euors a year in tax alone on a car that yopu have paid for.So this summer I left my car off the road and I cannot believe what I am saving. No wonder the Germans live beside their work.