Cowen vows to crack down on 'abuse' of tax breaks

Minister for Finance Brian Cowen has vowed to use the December budget to address the "abuse" of tax incentives by Ireland's super rich.

Speaking at Fianna Fail's ardfheis in Killarney today, Mr Cowen said it was "unacceptable" that the "wealthiest residents in Irish society should use property and other tax incentives to avoid paying any income tax while at the same time enjoying the services provided by the State."

"In the forthcoming Budget I therefore intend to address any abuse of such property and other tax incentives," he told delegates.

While tax incentives can make a positive contribution to development, Mr Cowen added, he would be "ensuring that this positive element continues to play its proper role".

Mr Cowen also said the Budge would focus "within the constraints of the revenue available to me" on the cost of childcare.

"I intend to support parents further through measures to make the cost of childcare more available."

Addressing so-called Rip-Off Ireland Mr Cowen said: "Businesses who use consumers only for their own short term enhancement are less likely to build sustainable companies.

"In this context in my next Budget I will be focusing on how to freeze as many elements of taxes on consumers as possible while maintaining an appropriate balance between the various taxes that provide the revenue to finance our public services."