Property and inheritance taxes should be raised, says State’s commission on tax and welfare

cnocbui

https://www.boards.ie/discussion/comment/119621469#Comment_119621469

Then why not tax money just resting in a bank account? Also near impossible to avoid. They already come close to that with DIRT, a completely unjustifiable tax that I don't believe any other OECD country has. And even more mind blowing than a tax that shouldn't exist is this mob of highly paid socialists recommending that it should be increased.

Taxing wealth is truly weird and wrong. It doesn't grow on tax-free trees. People with high incomes are already taxed a lot more than any other earners. There already is significant CAT to prevent people from gaining wealth from gifts and the death of relatives. If they make money from investments, like buying and selling shares and assets, that too already attracts the 4th highest CGT rate in the world.

The money to purchase houses with is already taxed highly. If you build a house the inputs are all considerably cost inflated with government/council charges, inflating by 32.8%, the cost of building a house in Dublin. Now tax the final product as well for a third hit.

Arguing it's to fund needy local councils I don't buy either. Some of the stuff I see my local council do with the property and vehicle taxes it already receives annoys me. There was perfectly good and serviceable concrete foot paths and paving, so they wasted an absolute bomb tearing it all up and putting down pavers in its stead, which with Ireland's damp algae and lichen growing climate will all look like blackened concrete before long.

A shopping centre was built a while back. To compliment it they built an extremely expensive waist high, dark, hard stone wall next to it and for some distance further past. Probably at least 600m of it or more. They were at building those walls a long time. They must have spent enough to pay for the construction of several social houses out of stone, and a few more had it been cheaper materials. Then a few years later, they come along and tear half of it down.

Gob smacking wasting of money. The don't need more. I strongly suspect they are knowingly wasting money on make-work in order to justify keeping some employees on the payroll instead of trimming the excess.

bluedex

https://www.boards.ie/discussion/comment/119622091#Comment_119622091

They have use it or lose it budgets, hence wasteful spending. Don't get me started on the inefficiencies of fixed annual budgets...

bluedex

https://www.boards.ie/discussion/comment/119621697#Comment_119621697

Apologies that post was in the context of property taxes, not CAT.

AndrewJRenko

https://www.boards.ie/discussion/comment/119622091#Comment_119622091

Where was the shopping centre wall please? Councils don’t generally build walls around private developments.

cnocbui

https://www.boards.ie/discussion/comment/119622112#Comment_119622112

Civil services are a self perpetuating cancer, always trying to get bigger. We need more staff, if only we had more staf - currently the legal system wants more judges - at €500,000 a pop - and ABP want more. Simple, amend the overly restrictive planning laws and job done. Same for the legal system. Try buying or selling a house in Australia vs this hole, or acting as an executor there vs here.

I worked in a civil service for a while. Every year, the managers and directors would rush around buying new photocopiers, computers, laptops and anything else that could be thought of, and woe betide any manager that didn't spend every last cent of their annual budget.

There is no need for higher taxes, while there is a crying need to downsize the public sector, reduce waste and increase efficiency.

cnocbui

https://www.boards.ie/discussion/comment/119622129#Comment_119622129

The wall was adjacent, between the shopping centre and main road, not encircling it, and it extended far beyond. Then they came and tore down the bit between the shopping centre and road a few years later. Nenagh.

kippy

https://www.boards.ie/discussion/comment/119622177#Comment_119622177

What kind of percentage top line savings do you think are viable?

cnocbui

https://www.boards.ie/discussion/comment/119622449#Comment_119622449

I don't understand your question.

Cookie_Monster

Why should DIRT not exist? Its just a tax on the additional interest income, not the principal... Its a way of caputing unearend income that otherwise would have to be disclosed by everyone doing tax returns personally rather than the PAYE system that simplifies things for the majority of people.

"Then why not tax money just resting in a bank account? Also near impossible to avoid. They already come close to that with DIRT, a completely unjustifiable tax that I don't believe any other OECD country has. And even more mind blowing than a tax that shouldn't exist is this mob of highly paid socialists recommending that it should be increased."

NZ has RWT, up to 33% of interest earned is deducted at source.

cnocbui

https://www.boards.ie/discussion/comment/119624642#Comment_119624642

RWT is not a fixed rate, it's based on your income and marginal tax rate and I have nothing against that. Dirt is a fixed rate and has been 41% for everyone, irrespective of income and marginal tax rate. Now it's 33%, but this committee is recommending it be increased again. The NZ RWT has the same effect as how Australia does it, which is the way it should be done - you declare your interest as income in your tax return and then it gets taxed at your marginal rate. RWT has the same effect, but it's doing it the hard way.

Viscount Aggro

I can a lot more cash transactions in the future.

Example - in Rathkeale, property transactions are done partly in cash, avoids a lot of stamp duty and other transaction costs, and keeps price low.

https://www.boards.ie/discussion/comment/119615678#Comment_119615678

You think this is some kind of slam dunk, don't you? In reality it's just smug and naive.