(Cavan-Monaghan): I have pointed out that the system of collecting revenue for the State or local authorities by rates is unjust and inequitable because it does not have regard to the capacity of the ratepayer to pay. It does not have any regard as to whether the ratepayer is well-off or in poor circumstances. The yardstick or method of assessment, the poor law valuation system, is almost 150 years old and the criteria used when it was introduced are no longer valid. The system was regarded as unjust and inequitable by all parties in this House and I would have thought that the method of collecting revenue for local authorities would have been changed away from rates. We were astounded to find that on the return to power of Fianna Fáil they set about extending the system to the agricultural community. In their first year in office they abolished the agricultural grant on valuations down to £75 and saved themselves £7 million. That was later reduced to £60 valuation, saving another £2 million. That £9 million went towards the rates Fianna Fáil removed from private houses although the former Taoiseach gave a solemn undertaking that there would not be any shifting of the rates from private houses to any other hereditaments, agricultural or industrial.
Section 1 is being introduced in pursuance of a budget announcement by the Minister for Finance which was to the effect that one of the principal objectives of the budget was to introduce greater equity into the taxation system. Instead of introducing greater equity this Bill is doing the direct opposite.