BUILDING A BETTER FUTURE

PART 4. FINANCE PROPOSALS

FINANCE PROPOSALS

The cost-of-living crisis is not over. Key to addressing the cost of living is making sure we spend and tax in a fair way. Sinn Féin would deliver a fair tax package for workers. Sinn Féin in government will abolish the USC for average workers by exempting the first €45,000 of income, starting by exempting the first €30,000 income.

We will stop the regressive consumption-based tax increases such as the Carbon Tax. We will abolish the local property tax on your home over 5 years. We will ensure a fair and balanced tax system that puts money back in workers pockets.

Sinn Fein will show there is a fairer way to tax and spend, to invest in strong public services and give workers and families a break.

Also crucial to alleviating pressure for workers is ensuring all workers get fair wages, in particular that low paid workers get a pay rise. That means increasing the minimum wage.

Sinn Fein knows that the best way to secure our future is by investing today. Sinn Féin would use windfall corporation taxes for capital investment. We would use windfall taxes to build housing
and infrastructure at scale.

In budget 2025, Sinn Féin would:

arrow_triangle right_alt icon  Remove USC for all workers on the first 30,000 of their income.

arrow_triangle right_alt icon  Provide €100 for all workers in Tax Credits (Increase to Personal, PAYE & Earned Tax Credits)

arrow_triangle right_alt icon  Increase tax credits for carers and lone parents.

Many households are still struggling with mortgage costs, caused by high interest rates. Sinn Féin understand the financial impact this is having on so many.

To support struggling households with rising mortgage costs, Sinn Féin would introduce temporary and targeted Mortgage Interest Relief. This scheme would support households with 25 percent of the increased cost of interest since June 2022, with a maximum benefit of €1,250 per household over the course of the scheme.

The cost of travel and energy bills remain high. Sinn Féin would extend the reduced rates of VAT on electricity and gas. We would not proceed with the government’s planned increases to the carbon tax and would reverse the August 2024 increase.

Sinn Féin PRIORITY MEASURES INCLUDE:

arrow_triangle right_alt icon  Introduce temporary and targeted Mortgage Interest Relief – cost € 336 million

arrow_triangle right_alt icon  Reduce rates of VAT on electricity and gas – cost € 65 million

arrow_triangle right_alt icon  Extend reduced rates of excise duty on petrol and diesel – cost € 112 million

arrow_triangle right_alt icon  Do not proceed with carbon tax increase – cost € 122 million

arrow_triangle right_alt icon  Put one month’s rent back into renters’ pockets and ban increases for three years – cost €150 million

arrow_triangle right_alt icon  Extend and increase the Bank Levy – raising € 400 million

ADDITIONAL TAX MEASURES

Additional tax measures, the revenue estimate of which could not be provided include:

arrow_carrot right_alt icon  Increase the Vacant Homes Tax

arrow_carrot right_alt icon  Increase stamp duty to end the bulk purchasing of residential property by institutional investors

arrow_carrot right_alt icon  Increase the Dividend Withholding Tax to 33 percent and apply 33 percent rate of CGT on the disposal of assets by IREFs and REITs

As our public finances face growing challenges in the years ahead, wealth inequality remains a real and growing threat, and tax is levied more on labour than on wealth, it is time to think big on tax. To date, there has been too little analysis of the merits and design of a tax on net wealth. Sinn Féin support the rationale for a wealth tax, one which achieves the objectives of efficiency and fairness. To that end, Sinn Féin would establish a Wealth Tax Commission.