The Minister for Finance, Mr McCreevy, underlined his commitment to the individualisation of the tax system last night, insisting that the introduction of a single standard rate band for each taxpayer was essential to meeting the Government's promise of bringing 80 per cent of taxpayers within one tax band.

Speaking at the Institute of Taxation annual dinner, Mr McCreevy defended the policy of individualisation which he set out in the Budget. He said it was the only way to ensure the Government met its tax targets in view of the transformed labour market in the Republic.

"The only way to get the numbers on the top rate of tax down is to widen the standard rate tax band. The best way to widen the tax band is to put this band on an individual basis and to tax persons on what they earn as individuals whether single or married." He said he was happy that his policy had been supported by the social partners and by a large number of taxpayers, as revealed in recent opinion polls.

The tax strategy would bear fruit in terms of higher take-home pay and increased incentive to work, he added. He was confident the "considered judgment" of the electorate would be favourable.

Referring to proposals to identify tax defaulters and the manner in which their respective offence came to light, he said it was only right that tax evaders were relentlessly pursued. The new measures were necessary to ensure public confidence in the tax system and to assure taxpayers that the aim was a system which was fair for all.

"There is much that is positive and healthy in a regime of public inquiry and accountability into the administration of public affairs. Where mistakes have been made, we must be able to learn from these," said Mr McCreevy.