asked the Minister for Finance if the half-year returns will confirm that the abolition of sur-tax, as proposed by him, will benefit the more affluent sections of the community or otherwise; and if he will make a statement on the matter.
Ceisteanna—Questions. Oral Answers. - Sur-tax Abolition.
114.
Mr. Kenny
I assume that the Deputy is referring to the end-September returns of Exchequer receipts and expenditure.
I am not clear as to the relevance of those returns to the proposals being considered for the simplification of personal income taxation. As indicated in the budget statement of the 16th May last, the Minister's aim is to devise a scheme which will achieve the greatest degree of simplification with minimum loss of revenue. The changes in mind involve, among others, the merging of the present anachronistic and administratively costly dual structure of income tax and sur-tax into a unified system.
That does not answer the question but is exactly what the Minister said in relation to there being one tax. I asked if this measure will benefit the more affluent sections of the community. It is conceded generally that any such step would have this effect.
Mr. Kenny
We shall have to wait until the new scheme is implemented before finding out which section of society will benefit but we believe that it is the lower strata now paying income tax who will benefit.
The Parliamentary Secretary is not sure, though.
The same applies to the in-calf heifer scheme.
Mr. Kenny
I am entitled to my opinion.