Labour Party Budget Proposals

The Irish Labour  Party released details of their proposals for Budget 2011.

The main points we picked out are as follows :

A new tax band of  48% on joint incomes over €200,000 (single incomes over €100,000),and a reduction in the personal credit of €250.

Abolish Air Travel Tax

Increase in the rate of carbon tax to €25 per tonne  to be  offset by€30m for fuel poverty measures.

No change to Min Wage

NPPR – Second Home Tax increased from €200 to €500

Reduce to 25% in the amount of interest that can be offset against rental income.

DIRT increase to 30%

Capital Gains Tax  – the following structure would apply

Free Business Accounts

– First €50,000 at 25%  – Next €50,000 at 30%

– Balance at 35%

Capital Aquisition Tax –  the following structure would apply

– First €50,000 over threshold at 25%

– Next €25,000 at 30%  –   Balance at 35%

In addition, the CAT thresholds would be reduced by 25%.

A cap of €190,000 will apply to all public sector appointments, including theTaoiseach. A reduction of 17% will apply to all Ministers and Ministers of State.

A 50 per cent increase in Dáil sitting days, with sittings four days a week, a
shorter summer recess and significantly reduced breaks at Christmas and
Easter.

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