asked the Minister for Finance if he is aware that the increased valuations on the holdings of people who improve their farm buildings and on shopkeepers who improve their shops are penal taxes which are resented by the people and retard progress; and if he will introduce legislation to modify the enactments which provide for such increases in valuations so that the law will conform to national dignity and be an incentive to national progress.
Ceisteanna—Questions. Oral Answers. - Increased Valuations.
11.
I cannot accept the suggestion that the existing basis of valuation of premises involves penal taxation, and, therefore, I do not intend to bring forward proposals to amend the law in the manner advocated by the Deputy.
Surely the Minister must be aware that the present system of valuation on buildings is a tax on the person who is up and doing and who is inclined to carry out improvements and thereby give employment? Would the Minister reconsider the reply he has just given and take these factors into account, that it is a tax on initiative and a damper on the go-ahead person?
The valuation, of course, is based on the letting value of the premises as calculated from the rent that might be expected one year with another, and then deducting all sums in respect of taxes and other expenses. As to destroying initiative, the same argument could be used in relation to a person trying to increase his salary having to pay income tax on it.