Oireachtas Joint and Select Committees

Wednesday, 18 September 2013

Committee on Finance, Public Expenditure and Reform: Joint Sub-Committee on Global Corporate Taxation

Base Erosion and Profit Shifting: Discussion with Department of Finance and Revenue

2:45 pm

Photo of Pearse DohertyPearse Doherty (Donegal South West, Sinn Fein) | Oireachtas source

What Mr. Tobin has described is perfectly normal and innocent. Companies tender for e-Government contracts all the time. It is increasingly the direction in which we are moving. That, however, is completely different from the issue I am raising today, as outlined in the documents before me and on the basis of the freedom of information request I submitted. The issue is that the Secretary General apparently said in conversation to the CEO of the company in question that it should approach Government. We have often discussed tendering processes and so on in the finance committee, but this is something completely different.

I wish to ask Mr. Tobin a question on a separate matter. Although Apple is involved, we will discuss it in general terms. There are companies incorporated in this State which are non-resident for tax purposes. These companies do not employ anyone. One of them, Apple Operations International, AOI, does not have any employees but it makes billions in profits. Companies of this sort are incorporated in Ireland but they are not tax resident here or anywhere else in the world. I know that, Mr. Tobin knows it and so does the Revenue. What are we going to do about this? Are we just going to leave matters stand?

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