Monday 19 August 2019

Budget : OECD welcomes end of 'double Irish'

Michael Noonan says the road map attempts to improve Ireland's reputation on corporate tax
Michael Noonan says the road map attempts to improve Ireland's reputation on corporate tax

Ailish O'Hora

The Organisation for Economic Co-operation and Development (OECD) has welcomed the budget move to remove the corporation tax loophole used by many multinationals known as the "double Irish."

Yesterday Finance Minister Michael Noonan said the scheme was ending for new entrants and it was being phased out over six years for companies already operating here.

Pascal Saint-Amans, Director for the OECD's Centre for Tax Policy and Administration, said that the measure would make for a level playing field and described it as a very courageous step.

 "This is a significant move in the right direction, as well as a smart and courageous move on Ireland's part."

The move sends out a very strong signal that Ireland wants to be competitive, but does not want to facilitate double non-taxation which is of concern to so many countries, he said.

He also added that what the Government has proposed will strengthen its competitive position.

The Budget debate resumes in the Dáil this morning.

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