Losing out to high tax
A new system will hurt us all -- the rich will avoid paying and the poor will carry the can
Published 19/01/2010 | 05:00
Our national finances seem to be stabilising and hopefully they will continue to improve. There was a great danger that the Government could run out of money and be unable to borrow any more. It has happened before and, like the current worldwide collapse in asset values, it could happen again. At last something positive is now being done and the carbon tax will certainly help forestry.
We have hard years ahead of us but those of us over 50 have lived through a lot worse.
If we know how to grow our own food, keep a few chickens, pit spuds and carrots, split logs, lay a hedge, hang a gate and generally be self-sufficient in the basic needs of our households, we have the means to survive. No one has to buy new clothes, TVs, cars or furniture if the old ones are still serviceable.
The past decade was an era of madness, when people borrowed and spent money as if there was no day of reckoning ahead. That day has now arrived and there is nothing the self-interest pressure group can do to alter reality.
At least our Government has begun to stand up to vested interests and govern.
Hopefully the following will help explain how our current tax system works:
Suppose that every day 10 men go out for beer and the bill for all 10 is €100. If they paid their bill the way we pay our taxes, it would go something like this: