A government backbencher is indicating that council tenants will be asked to pay property tax.

A value-based tax is to be introduced next year.

The Finance Minister said yesterday however that no decision had yet been made on the details of the new tax.

It follows reports at the weekend that the government has told the Troika that it will introduce a ‘value-based’ tax next year.

However it is not clear if the value will be determined by the site or the property.

Yesterday Sinn Féin urged the government to abandon the plans for a property tax and introduce a wealth tax instead.

The party says people should only pay tax on assets totaling more than €1 million.

Sinn Féin finance spokesperson Pearse Doherty says neither a value nor site-based tax is fair.

“Whether it’s on a valued tax – it could be somebody living close to the city centre of Dublin, that the property would be valued at a high level – that that person may have lost their job, that their wife may have lost their job” he said.

“Or you could have the other situation for somebody living in rural Ireland if it’s a site-valued tax”.

“(They) could have the family home with a couple of acres and be in the same situation”.

“It is a flawed premise – it needs to be based on the ability to pay” he added.

Today Fine Gael TD for Wicklow Andrew Doyle has told Declan Meehan’s Morning Show on East Coast FM that it will be extended to people renting from local authorities despite the fact that they do not own their own homes.

You might also like:

href="http://www.newstalk.ie/2012/news/no-decision-yet-on-new-property-tax-says-minister/">No decision yet on new property tax, says Minister

href="http://www.newstalk.ie/2012/news/calls-for-property-tax-to-be-delayed-amid-concerns/">Calls for property tax to be delayed amid concerns

href="http://www.newstalk.ie/2012/news/government-considers-super-property-tax-for-larger-houses/">Government considers ‘super’ property tax for larger houses