Chambers Ireland has today said that maintaining Ireland’s 12.5pc corporation tax rate will be a crucial element in sustaining Ireland’s return to growth and must be non-negotiable in any agreement.
The Irish Government is engaged in intensive talks with the IMF and European officials over accepting external assistance that would likely result in a financial assistance package – which could be subject to certain conditions.
Unique selling point
Seán Murphy, Chambers Ireland deputy chief executive, said, “The 12.5pc corporation tax rate is Ireland’s unique selling point and a vital draw for foreign direct investment (FDI) which generates more jobs per head of population in Ireland than in any other country and supports some 240,000 Irish jobs. They account for 50pc of corporation tax, 70pc of national exports, and a €19bn spend in the economy, including €7bn in payroll.”
“The maintenance of our corporation tax rate will therefore be vital for generating the revenues needed to pay down the debt burden that Ireland faces in the future,” Murphy said.