Dáil Éireann Debate, Tuesday - 18 September 2012
265. Deputy Pearse Doherty asked the Minister for Finance if he has examined the potential for a wealth tax; and the estimated return to the Exchequer from a 1% wealth tax on individual wealth in excess of €1 million. [38298/12]
View answerThe Government does not propose at this time to introduce a wealth tax, although all taxes and potential taxation options are constantly reviewed. To estimate the potential revenue from such a wealth tax, we would need to identify the wealth held by individuals. I am informed by the Central Statistics Office that the institutional sector accounts do not give an indication of the number of households or persons classified by the categories of wealth they hold. These statistics are based on aggregate information collected from financial institutions and do not contain the demographic details which would enable such a breakdown of the statistics. So while the CSO’s institutional sector accounts show that households held c. €126 billion on deposit in 2010, this is not broken down by income or wealth categories.
However, I understand that, following discussions between the Department of Public Enterprise and Reform, the CSO and the Central Bank, the CSO has commenced a “Household Finance and Consumption Survey”, which will include, inter alia , a survey of wealth. The first results of this survey will be available in 2014. The data to be collected by the CSO as part of this survey is primarily targeted as general information on the financial situation and behaviour of households. I am informed by the Revenue Commissioners that they have no statistical basis for compiling estimates in relation to a potential annually recurring tax on wealth. It is therefore not possible to provide the information requested by the Deputy on the potential return from a 1% wealth tax on individual wealth in excess of €1 million.
