Congress Gives 'Guarded Welcome' to Income Levy Threshold
21 Oct 2008
Congress has given a guarded welcome to the government decision to exempt those on the minimum wage from the one percent income levy and to significantly increase the threshold for the over 70s medical card.
Speaking after the new income levy measure was announced, Congress General Secretary David Begg said: "While we had sought a higher threshold - at €11 per hour as opposed to the €8.65 minimum wage - it is clear that this move will benefit those on the lowest incomes, who have been excluded from the tax net as a matter of public policy for some time now.
"Obviously, they should never have been targeted in the first place and such an indiscriminate instrument such as the blanket one percent levy should never have been considered, let alone introduced.
"It is important that the principle of protecting the lower paid is maintained and this government move goes some way towards meeting the demands Congress had put to the Taoiseach," Mr Begg said.
Following the October 14 budget, Congress had called for an immediate meeting with government on the issue of the levy, the medical cards for over 70s and education cutbacks. A meeting between An Taoiseach Brian Cowen and a senior Congress delegation took place on Friday, October 17, at which these issues were discussed.
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Congress Communications' Officer
Irish Congress of Trade Unions
31-32 Parnell Square
Dublin 1
Tel: (00 3531) 889 7799/ 087 917 4171
www.ictu.ie