Dublin South West Sinn Féin TD, Seán Crowe highlighted the cruel cut in the single parent tax credits during a Dáil debate on the Government’s Finance Bill.
New tax changes will mean that the One-Parent Family Tax Credit, which is €1,650 per year, will only be available to the primary carer of a child, and not as was the case when both parents who share custody could avail of it.
Deputy Seán Crowe said:
“One of the cruellest parts of the Budget was the cutting of the Single Parent Tax Credit and its replacement by a credit available only to one carer.
“According to the last census there are 217,000 children of separated parents living in this State and this tax cut has elicited a huge amount of anger and opposition from Irish citizens.
“My full time office in Tallaght has been flooded with desperate messages from hard pressed and struggling single parents, who are working as hard as they can to provide for their children, but have real and genuine concerns that they will no longer be able to when this cut rips the financial heart out of their family.
“The proposed change is disproportionate and wrong. The credit’s removal amounts to a whooping €1,650 per year. When you add the additional impact caused by its removal in relation to tax bands, the proposal amounts to the biggest single income cut on any one section of society in recent years.
“Research from Trinity College indicates that in 97% of separation cases in the state, the courts deem the child’s mother to be the primary carer, even in cases of 50/50 access.
“This decision basically means that Single Fathers are the primary group in society that will have their pay slashed and that will see an increase in their income tax; something this Government guaranteed would not happen to anyone.
“The implications of the cut have real potential to lead to a reduction in the level of maintenance payments and a reduction in the quality and quantity of time that children will be able to spend with both their parents.
“So who does this tax cut benefit? It is completely illogical and the wrong direction that the government should be pushing separated fathers.
“This measure will not only have financial ramifications, but it will also have a considerable social impact.
“I believe that this cut will also contribute to undermining the social standing of separated parents in our society. This move sends out a message to separated fathers in particular, that their care- giving is not equally respected by the State; this is both degrading and unfair.
“This is an unacceptable message for any government to send out and will be viewed as favouring one parent over another.
“This tax cut is a regressive move which ultimately will affect the children of separated parents most. It is out of tune with the needs of a modern Ireland inclusive Ireland. It is an unfair cut and I invite all elected representatives to join Sinn Féin in opposing it.”
ENDS