Sinn Féin supports retention of 9% VAT – Doherty
Sinn Féin Finance spokesperson Pearse Doherty TD said today that his party stands over its proposal to maintain the 9% VAT rate for 2014 for the tourism & hospitality sector, included in its budget submission yesterday.
Doherty said that attacks by the Consensus for Cuts, in Fine Gael, Labour and Fianna Fáil, on the inclusion of the 9% rate and on the Sinn Féin budget in general is because Sinn Féin has exposed them and their austerity policies and has put forward a fairer way that is costed by the government.
“In the Sinn Féin alternative ‘A Fair Budget’ launched yesterday, we showed how next week’s budget could reduce the tax burden on ordinary families, protect public services and create jobs.
“One of the measures we included, along with a series of pro-business and pro-jobs proposals, was to extend the 9% VAT rate currently in place for the tourism and hospitality sector. This would be paid for through the mechanism that currently funds it – the pension levy.
“The levy and the 9% VAT rate have always been linked. Government Ministers know this but have mischievously attacked our budget for this measure but we stand over it and we challenge the government to follow through on their own statements of how successful the rate is, and keep it at 9% for 2014.
“When the government introduced this rate, it did so with great fanfare, telling us what a great idea it was and how many jobs it would create. Increasing this rate at a time of no economic growth and when businesses in this sector are struggling would be detrimental to any hopes of recovery.
“Since we launched our alternative budget yesterday all of the parties from the Consensus for Cuts, Fine Gael, Labour and Fianna Fáil have attacked and attempted to undermine the credibility of our proposals. This is because they are rattled. Sinn Féin has exposed them and their austerity policies for all to see.
“We have put forward a fairer way that is costed by the government and I am ready and willing to debate the measures contained in our document with any of these parties.”