The featured letter in last Saturday's Financial Times (22/06/2024) argues against the existing UK CGT rates, which are still well below ours.
The writer states that there is much evidence that the CGT sweet-spot (my term) is 18%. This is based on US research.
At the 18% level, they argue that you would have a more liquid economy.
Certainly, you have to wonder if, from a Irish exchequer perspective, 18% of something is better than 33% of nothing? (Notwithstanding the fact that the 33% rate has not deterred a mass exodus of small landlords from the rental market. But, that's another story.)
Has any research been done into whether or not our high rate results in a large chunk of the economy being frozen in aspic?
D.
The writer states that there is much evidence that the CGT sweet-spot (my term) is 18%. This is based on US research.
At the 18% level, they argue that you would have a more liquid economy.
Certainly, you have to wonder if, from a Irish exchequer perspective, 18% of something is better than 33% of nothing? (Notwithstanding the fact that the 33% rate has not deterred a mass exodus of small landlords from the rental market. But, that's another story.)
Has any research been done into whether or not our high rate results in a large chunk of the economy being frozen in aspic?
D.
