Dáil Éireann debate -
Wednesday, 2 May 1951

Vol. 125 No. 13

Financial Resolution No. 3—Customs and Excise. - Resolution No. 5—Rates of Estate Duty.

Mr. McGilligan

I move:—

That, in the case of persons dying after the 2nd day of May, 1951, the scale set out in the Schedule to this Resolution shall be, and shall have effect as, the scale of rates of estate duty in lieu of the scale set out in the Third Schedule to the Finance Act, 1941 (No. 14 of 1941).

SCHEDULE.

SCALE OF RATES OF ESTATE DUTY.

Principal Value of the Estate	Rate per cent. of duty
	£		£
Exceeding	2,000	and not exceeding	3,000	1
,,	3,000	,, ,,	5,000	2
,,	5,000	,, ,,	7,500	3
,,	7,500	,, ,,	10,000	4
,,	10,000	,, ,,	12,500	6
,,	12,500	,, ,,	15,000	8
,,	15,000	,, ,,	17,500	10
,,	17,500	,, ,,	20,000	12
,,	20,000	,, ,,	25,000	14
,,	25,000	,, ,,	30,000	16
,,	30,000	,, ,,	35,000	18
,,	35,000	,, ,,	40,000	21
,,	40,000	,, ,,	45,000	24
,,	45,000	,, ,,	50,000	27
,,	50,000	,, ,,	60,000	30
,,	60,000	,, ,,	75,000	33
,,	75,000	,, ,,	100,000	37
,,	100,000	,, ,,	150,000	41
,,	150,000	,, ,,	200,000	45
,,	200,000	,, ,,	250,000	49
,,	250,000			53

Mr. MacEntee

There will be great jubilation in all the farms in Ireland to-night. The workers in Crumlin, Kimmage, in North-East, South-East, North-West and North Central Dublin will be all out lighting bonfires to the Minister for Finance because while he has imposed a tax upon the petrol which carries them to their work, he has at the same time reduced the rate of estate duty upon the fortunes which they leave behind. Those of them who are lucky enough to leave a nest egg of £2,000 will now have the duty on that reduced by 100 per cent. Those who are a little bit better off and die worth between £3,000 and £4,000, will have the duty reduced by 5 per cent., while those still better off, leaving something between £5,000 and £7,500 out of their earnings as skilled or unskilled labourers, are going to know that, from now on, they can sleep secure in the knowledge that, with the assistance of the Labour Party and the others— while the duty on petrol has gone up— the rate of estate duty has gone down by the percentages which I have mentioned.

Mr. McGilligan

This tax is expected to bring in £400,000 extra this year and something in the neighbourhood of £750,000 in a full year. While we are doing that we are certainly giving remissions to people who die with small estates. In the case of a man who dies leaving a small estate, certainly anything up to £2,000, Deputy MacEntee feels that he ought to be blistered. The Deputy would dig something out of that man. I propose not to take anything from him, but to relieve him of whatever rate there was.

Similarly, with regard to other small estates, we are either remitting entirely or lightening the rate per cent. In the case of an estate between £2,000 and £7,500, the duty will be either remitted or it will be reduced. I think that is a very good social contribution. Lest anyone should feel that there is a good deal of money going to be lost, may I say that for many years by far the greater part of the enormous percentage of money that was taken in estate duties came from the big estates? We are taking more from those people than before, but we are giving some part of the benefit of that increase to the smaller people. In addition, we are getting in in this part of this year £400,000 for the Exchequer, and in a full year £750,000. Deputy MacEntee can explain that to the people he is anxious about.

Resolution put and declared carried.