US Chamber chief backs 12.5pc rate
IRELAND should not give up its 12.5pc corporation tax under any circumstance if it wants to keep attracting investment from the United States, the head of one of the most powerful business groups in America warned.
Tom Donohue, who heads the US Chamber of Commerce, said the low rate of tax here gave Ireland a strong advantage over rival countries competing for foreign direct investment.
"The low rate of tax gives Ireland a huge boost when companies are deciding whether or not to invest here.
"It is part of a package that makes Ireland the favoured venue that it is, including the likes of a highly educated workforce, pro-business environment and English speaking and so on," Mr Donohue said.
Ireland has been under pressure to increase its tax rate from both east and west.
The EU wants Ireland to increase its rate as part of a consolidated corporate tax base, while US President Barack Obama announced changes last February to the US tax code to stop American companies keeping profits earned abroad away from the Revenue in America. Mr Donohue is in Ireland as part of a whistle stop tour of Britain and Ireland.