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Sat 05 May 2009McCreevy warns against increased tax rates for high earners

IRELAND'S EUROPEAN commissioner and former minister for finance Charlie McCreevy yesterday warned against increasing taxes on high earners, but said he was not criticising the Government's budgetary policy.

In a speech in Dublin yesterday to the Leinster Society of Chartered Accounts, Mr McCreevy said raising taxes for high earners could produce "diminishing returns. There is now, I believe, a recognition that increased tax rates on high earners can very quickly produce diminishing returns. All governments face the pressures to make the rich pay more.

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