‘Reformed’ expenses are really a second salary

DESMOND Fitzgerald (Letters, December 28) does not understand the “reformed” system of expenses for our politicians introduced in March 2010.

Our hard-working politicians no longer have to claim expenses. Round figure allowances have been set (by the politicians) for travel and subsistence and for general expenses (newsletters etc) and these amounts are paid automatically tax-free each month with their salaries.

This is why the Houses of the Oireachtas website which lists the monthly expenses paid to our politicians shows in many cases the same amounts, and also shows payments for travel when the Dáil is not sitting.

Politicians may choose to receive €15,000 per annum without having to produce receipts for their non-travel expenses, or they may have €25,700 pa. Those opting for this higher amount are asked to provide receipts.

Would a self-employed person be allowed do this by the Revenue? It’s interesting to see that many politicians chose the lower sum (no vouching). Clearly their genuine parliamentary expenses are low or they would opt for the higher figure. They are in effect getting an additional salary called expenses — and of course expenses are not liable to income tax. Dublin deputies get €1,000 per month paid automatically for travel and subsistence. Ordinary Dublin workers pay their own travel costs to the office. Country-based politicians get allowances which are incredibly generous by any standards.

But of course the politicians make the rules and set their own allowances. Cutbacks and financial pain are for us “ordinary folk”.

Enid O’Dowd

Moyne Road

Ranelagh

Dublin 6