Major changes in the taxation system will be proposed to the Government later this month.
The Commission on Taxation is expected to recommend the introduction of new taxes especially for property and water charges.
However, these will be balanced against the reduction or abolition of other taxes and some tax reliefs.
Key recommendations are expected to include a tax on Child Benefit with a tax credit provided to lower-income families; new water charges for every household, including the provision of meters in every house, to raise €500m to fund local authorities; and a cap of €200,000 on retirement lump sums.
A self-assessed property tax on all homes, averaging €1,000 per house, with exemptions for the lower paid and elderly is also expected to be recommended, as is a new SSIA type pension for the lower paid with a significant reduction in pension tax relief for the higher paid.
The commission was set up last year to examine the entire tax structure.
Fine Gael's Finance Spokesman Richard Bruton has said no country had ever taxed its way back to economic recovery or to health in its public finances.
In a statement, he said the measures are unfair, unwise and would only make the recession deeper and longer.
