Govt 'leaking tax report to soften up public'

Labour leader Eamon Gilmore has accused the Government of trying to soften up public opinion by deliberately leaking sections of a new report on tax reform.

Labour leader Eamon Gilmore has accused the Government of trying to soften up public opinion by deliberately leaking sections of a new report on tax reform.

The report from the Commission on Taxation is due to be formally submitted to Finance Minister Brian Lenihan this week.

Details have already been widely leaked, including proposals for a new property tax, household water charges, a carbon tax and reform of pension tax relief.

Over the weekend, Mr Lenihan said he believed the overall burden of taxation was already high enough, suggesting that any changes introduced will be offset by tax cuts elsewhere.

The minister said he believed the massive hole in the public finances needed to be plugged by more spending cuts rather than tax increases.

Mr Gilmore, however, says people who can afford to pay more tax should do so as part of a fair response to the country's economic problems.

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