The Minister for Finance, Mr McCreevy, has said he will be sensitive to the different types of relationships and the need for equity in reviewing capital acquisition tax (CAT), also known as inheritance or gift tax.
In a speech delivered to the Seanad on his behalf, the Minister of State, Dr Tom Moffatt, said: "While more contemporary relationship patterns may get much of the attention when this matter is discussed, there are other, more traditional types of relationships that need also to be kept in mind." He referred, in particular, to brothers and sisters living together in the family home.
However, he also stressed that CAT remained a very important source of revenue for the State. "The Minister considers it important that a certain balance be maintained within the overall taxation system in terms of the yield from taxes on earnings, taxes on goods and services and taxes on capital," Dr Moffatt said.
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