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Low-paid poised for cut-price house tax

A PROPERTY tax as low as €100 for pensioners and social welfare recipients looks likely to win approval from the EU-IMF bailout team.

The incomes of property owners and the ability of people to pay the taxes will be factored into plans amid fears of a revolt from the lower-paid.

The Troika is determined that the Government proceeds with plans to introduce property taxes in 2013 -- but is now believed to accept the principle that pensioners and others facing difficult financial circumstances should not be taxed at the full market value of their homes.

Government officials are considering a flat-rate charge as low as €100 for pensioners and low-income families.

A minimum rate may eventually be agreed which will probably be under €200 for those with limited means.