DUBLIN, Sept 20 (Reuters) - Ireland's prime minister has signalled the government will not introduce a slew of new taxes in a December budget despite recommendations from a government-appointed commission earlier this month.
'Over the coming years, there is a long-term focus if you like (as) to how you would redesign our tax system,' Brian Cowen said in remarks broadcast on national radio on Sunday.
'That is an exercise that will, over time, have to be considered and implemented by government in due course.'
The Commission on Taxation proposed introducing an annual property tax, water charges and taxing allowances for children as part of over 230 suggested changes to broaden the country's tax system, which was overly reliant on property transactions.
Analysts have said the introduction of some of the proposals, particularly a property tax, would be political suicide for Cowen, who is battling record-low popularity levels over his handling of a severe recession.
The government, which already hiked taxes in previous austerity budgets, is expected to rely largely on spending cuts to squeeze some 4 billion euros savings in the next budget.
Finance Minister Brian Lenihan said this week that he was not planning to raise any taxes in December's budget for 2010, apart from the possible introduction of a carbon tax, which has been championed by junior coalition partner, the Green Party.
(Reporting by Carmel Crimmins; Editing by Marguerita Choy) Keywords: IRELAND ECONOMY/TAXES (carmel.crimmins@reuters.com; +353 1 500 1529; Reuters Messaging: carmel.crimmins.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
'Over the coming years, there is a long-term focus if you like (as) to how you would redesign our tax system,' Brian Cowen said in remarks broadcast on national radio on Sunday.
'That is an exercise that will, over time, have to be considered and implemented by government in due course.'
The Commission on Taxation proposed introducing an annual property tax, water charges and taxing allowances for children as part of over 230 suggested changes to broaden the country's tax system, which was overly reliant on property transactions.
Analysts have said the introduction of some of the proposals, particularly a property tax, would be political suicide for Cowen, who is battling record-low popularity levels over his handling of a severe recession.
The government, which already hiked taxes in previous austerity budgets, is expected to rely largely on spending cuts to squeeze some 4 billion euros savings in the next budget.
Finance Minister Brian Lenihan said this week that he was not planning to raise any taxes in December's budget for 2010, apart from the possible introduction of a carbon tax, which has been championed by junior coalition partner, the Green Party.
(Reporting by Carmel Crimmins; Editing by Marguerita Choy) Keywords: IRELAND ECONOMY/TAXES (carmel.crimmins@reuters.com; +353 1 500 1529; Reuters Messaging: carmel.crimmins.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.