CCAB-I Commends Irish Government On Interim Budget Decision

by Robert Lee, Tax-News.com, London

04 March 2009

The Consultative Committee of Accountancy Bodies Ireland (CCAB-I), the umbrella group of the state’s largest accountancy bodies, has welcomed the government’s decision to announce new budget measures by the end of the month.

“We know at first hand the serious decline in business generally and in tax revenues as a consequence. The Exchequer figures published this afternoon confirm this,” said CCAB-I spokesman Brian Keegan on March 3. “We agree that urgent action must be taken, not only on tax measures, but also on expenditure cuts. A programme of raising taxes must be matched by a programme of expenditure reduction.”

“Of most immediate concern is the weakness in income tax receipts. This is not only because of redundancies, but also because many private sector firms have been forced to cut wages to retain staff,” said Keegan. “We look forward to the new proposals and will play our part as appropriate as they are to be implemented.”

“The February figures confirm that capital tax receipts are in freefall because of the collapse in property and share values, and that the income tax figures are lower than might reasonably have been hoped for,” added Keegan.

“Any changes to Ireland’s tax regime must be applied on principles which will drive our recovery through a focus on innovation and technology, sustain the tax yield and allow for prudent planning,” the CCAB-I urged, concluding its statement.

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