Investor Presentaiton
Corporation Tax
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Originally low corporation tax attracted FDI employment to Ireland
• Non-US firms not permitted to exploit opportunity by domestic tax authorities
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Bulk of corporation tax is paid by small number of US firms.
Exceptional profit margins because location of IP in Ireland.
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• In individual companies, such as Apple, IP held by separate subsidiary from company
employing large numbers in Ireland
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• Employment decision separable from where IP is held and tax paid (or not paid)
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Trump tax reform may have benefited Ireland because GILTI rate 10.5%
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Very vulnerable to changes in US tax law - e.g. proposed Biden reforms?
• OECD process would have impact. Department of Finance estimate up to €2bn
• With US tax reforms total of €6bn could be at risk: c. 3% of GNI*, but direct employment
impact likely to be lowView entire presentation