A HEATED debate on the reduction of the Local Property Tax went to the wire this Tuesday evening before councillors finally voted in favour of a three per cent reduction on the charge.
It means that Limerick homeowners will now make an average annual saving of €2.70 on the property tax.
The emotionally charged meeting saw public representatives confronted with a 5.30pm deadline to reach a decision and notify the Revenue Commissioners in order to be able to reduce the property tax for homeowners in the city and county.
No punches were pulled as councillors hit hard and low, turning their attentions at times to name-calling and slamming opposition party policies as the clock ticked down towards the deadline.
And as the cut-off point loomed, Council Cathaoirleach Kevin Sheahan had to remind his colleagues that “the clock is the master today”.
Council chief executive Conn Murray also pointed out that any reduction made to the Local Property Tax would lead to cuts to services or increases in other taxes come budget time.
Before Fianna Fail’s motion to reduce the LPT by three per cent was passed by 27 votes to 11, an earlier motion by Sinn Fein to cut the charge by the maximum 15 per cent was defeated by 25 votes to 13.
Sinn Féin party leader on the merged local authority, Cllr Maurice Quinlivan, said he believed the maximum possible reduction could be achieved while protecting jobs and without cutting essential local services. He also made it clear that his party were opposed to this “unfair tax” and pointed out that they are committed to abolishing it at the earliest opportunity and replacing it with “much fairer wealth tax”.
Lisa Marie Sheehy, newly elected Sinn Féin councillor for Capparmore-Kilmallock, was adamant that the tax should never have been introduced and described it as being “unfair to the highest regard”. The 20-year-old councillor said: “This tax is irrelevant. It doesn’t take into account peoples ability to pay, it is unjust.”
After the Sinn Féin motion was defeated, Fianna Fail proposed a 15 per cent rolling reduction over five years with a three per cent cut implemented each year. Cllr Michael Collins explained that his party wanted to protect local communities by preserving frontline services, which he believed would have been hit by the maximum 15 per cent reduction.
Labour Party councillor Joe Leddin described Sinn Féin of taking the “fairy godmother” approach. He said he was even more gobsmacked at Fianna Fail’s turnaround after last week claiming that they had proposed a 15 per cent reduction to the property tax.
“It’s no wonder people don’t trust them when it comes to financial matters,” he added.
Fine Gael councillors were totally opposed to any variance in the tax and were very vocal on their preference to freeze the tax in order to preserve essential services.
Following the three per cent reduction, each homeowner will now make an average saving of €2.70 annually.
Fine Gael councillor John Sheahan described the reduction as “tokenism” and said the add-on proposal by Fianna Fail for a community fund for each municipal area was a “smokescreen”.
His Fine Gael colleague Jerome Scanlon pointed out that he had bought two packets of peanuts that day costing €2.70.
“This is an insult to people. It’s nuts,” he commented.