Minister for the Environment Phil Hogan today admitted that the household charge (announced only 24 hours ago) could not be guaranteed to remain at €100 for the next two years. He said that it was up to the minister for finance to review the charge in the run up to budget 2013. The idea is that the flat rate charge will be replaced by metered water charges and a valuation based property tax in 2014.
€160m will be collected by this charge next year to help pay for local authority services. There will be exemptions but they are few, they include:
-People in receipt of mortgage interest supplement
-People living in local authority housing
-People living in 'Ghost Estates'
Pensioners and people on social welfare will be liable to pay it, as will people who already pay a second home tax. The government has tried to sweeten the bitter pill by saying that it equates to 'only' €2 per week. That's all very well to say, its a drop in the ocean for the wealthy but makes up a massive 1% of your income should you be a single person reliant on social welfare.
Joe Higgins and the other members of the United left Alliance have announced that they will organise a civil disobedience campaign against the tax, encouraging non payment.
Roll on a 'Autumn' of discontent.
FS
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