Fairer way to reduce taxes
It has surprised me tremendously that the Labour Party, which is supposed to have more of a social conscience than the PN, has indicated it would go along with the PN’s proposal to reduce the top income tax rate from 35 to 25 per cent over time.
A much fairer way to reduce the income tax burden would be to widen the income tax bands. As an example (for single people) move the zero band to €10,000, extend the 15 per cent band up to €20,000 and the 25 per cent band to €30,000. This, of course, can also only be accomplished over time.
Detailed calculations will have to determine how much time will be needed but at least the reduction of the tax burden would be spread fairer over the different income levels. In addition, I believe that both parties should explain in detail how the lost revenue from an income tax reduction would be compensated because by now most of us know that one does not get better roads, or more or better anything, by paying less.