Department to publish Tax Strategy papers today
August 10, 2022
The Department of Finance will publish its Tax Strategy Group papers this morning, which will outline options for next month’s Budget.
The papers are expected to cover a range of issues including income tax and environmental taxes.
Every year the Department of Finance prepares briefing notes for the Minister of Finance on the potential options when it comes to taxes in the Budget.
The Budget is earlier this year, so the various parts of the budgetary process are happening earlier.
The big focus this year is likely to be on the costs and the implications of moving social welfare rates to keep pace with inflation and to what extent tax bands can be shifted reflect wages, which are also expected to rise.
There is also expected to be more attention focused on environmental taxes as electric cars become more popular and traditional sources of motor and fuel taxes come under long-term pressure.
The government’s Summer Economic Statement declared the upcoming Budget would be a ‘cost of living’ budget and doubled the amount of tax relief expected on Budget day to just over €1 billion.