Minister for Finance Michael Noonan has briefed Cabinet colleagues on a number of tax options to be considered in the upcoming Budget.

It is understood the Cabinet is considering some tax breaks for landlords which were discussed by ministers at today's meeting.

Furthermore, it is believed that Capital Gains Tax for entrepreneurs is also being looked at in the Budget to be announced on 11 October.

The Programme for Government commits to a 10% reduction in CGT for new starters from 2017, subject to a €10 million cap on gains.

The Government is also looking at reducing some of the conditions for the Living City Initiative which involves property tax incentives to encourage the regeneration of retail and commercial districts and also encourage people to live in historic buildings in  Cork, Dublin, Galway, Kilkenny, Limerick and Waterford.

The residential relief is only available for owner-occupiers.

It is believed the Government is looking at changing the floor area requirements of the property which qualify for the scheme.

Ministers are also looking at measures for farmers including a proposal from the IFA which has proposed that in a year when farm income falls significantly, the farmer should pay the tax due for a single year only on the actual income earned in that year, rather than the average tax due arising from five years' income.

The Government is also studying increasing the threshold for Inheritance Tax further by €40,000-€60,000.

The Inheritance Tax threshold was increased to €280,000 last year for children inheriting the family home.

It has also been well flagged that the Government is looking at decreasing the 1% and 3% lower rates of USC by 0.5%.

Mr Noonan also indicated he is examining the third USC rate of 5.5% but no decision has yet been made. 

He also discussed a rise in the price of cigarettes. Mr Noonan confirmed the price would be going up at the recent Fine Gael think in.

Ministers are also looking at further increasing the  Earned Income Tax Credit for the self employed. The credit of up to €550 was introduced in the last Budget.