SINN FÉIN IS proposing to introduce a third rate of tax and to abolish the property tax in its pre-Budget submission launched today.
The party is advocating a total of €1 billion in expenditure savings and €1.4 billion in taxation measures to bring about a total deficit adjustment of around €2.45 billion.
Among its most eye-catching proposals are to abolish the property tax which would cost €500 million per year and to take nearly 300,000 workers earning below €17,542 out of the Universal Social Charge which would cost €94 million.
The party wants to reintroduce the non-principle private residence charge on second homes which would be €400 per property and would raise €151 million. This would be double what the NPPR charge was prior to its abolition last year.
Sinn Féin wants to introduce a 48 per cent tax on income over €100,000 which it says will raise €365 million and restore Capital Gains Tax to 40 per cent which would raise nearly €100 million.
The party wants to raise excise duties on a packet of cigarettes by 20 cent and introduce a three per cent tax on online betting transactions in addition to other taxes on the betting industry which would raise a total of €114 million.
Among other measures proposed are to provide half of core school books to children free of charge which would cost €15 million. While €11 million would be spent on rolling-out school meals to an additional 500 schools.
Sinn Féin also wants to introduce free GP care for children under 5 and provide cochlear implants for 200 profoundly deaf children.
The party has proposed cutting pay of TDs and Ministers and to reduce salaries in the public sector between €100,000 and €150,000 by 15 per cent and apply a 30 per cent cut to incomes above €150,000 amounting to a saving of €31.5 million.
Other measures contained in the document but not included in the deficit reduction target include a one per cent wealth tax on net wealth over €1 million which would raise “hundreds of millions of euro” according to finance spokesperson Pearse Doherty.
“We’ve had these costs costed by the budgetary costing unit of the Department of Finance. These figures are accurate as of last week,” Doherty said on RTÉ’s Today with Seán O’Rourke earlier.