FLAC expresses concerns at the proposed retrospective taxation of the Covid PUP
FLAC Chief Executive, Eilis Barry has written to members of the Oireachtas to express concern at the provisions of Section 3 of the Finance Bill 2020 which propose to retrospectively impose a tax liability on claims for the Covid Pandemic Unemployment Payment (the Covid PUP).
In her correspondence with TDs and Senators Ms Barry enclosed a legal opinion, prepared by FLAC’s Legal Team, in relation to the legislation which is at Report Stage in the Dáil on 2 December 2020 before consideration of the Bill begins in the Seanad on 9 December 2020.
FLAC‘s Managing Solicitor, Sinéad Lucey stated:
“FLAC’s analysis suggests that the retrospective provisions of section 3 of the 2020 Bill may create a tax liability which is unexpected and which disproportionately effects those who have suffered the most financial hardship as a result of the Covid-19 pandemic. The proposed provisions may not accord with the constitutional protection of citizen’s property rights. The introduction of retrospective legislation which interferes with those rights is only constitutionally permissible in certain limited circumstances and these circumstances do not seem to apply to the current situation”.
Ms Barry commented:
“FLAC hopes that our significant concerns in relation to this legislation will be addressed as it progresses through the Oireachtas in the coming weeks. Rights are never more important than during a crisis like a pandemic and we at FLAC believe that it is of utmost importance that policy makers give careful consideration to the constitutional and legal rights of those who rely on social welfare supports at this time.”
Click here for the FLAC Note on the Finance Bill.