Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

I move amendment No. 69:

In page 23, between lines 20 and 21, to insert the following:“14. The Minister shall, within six months from the passing of this Act, prepare and lay before Dáil Éireann a report on options available to restrict banks from carrying forward losses against taxable profits of the banks, which could result in many institutions paying no tax for the foreseeable future.".

This is about preparing a report on the options available to restrict banks from carrying forward losses against taxable profits of banks that is resulting in many institutions paying no tax for the foreseeable future, or at least having a significant reduction in their tax. I have debated this with the Minister every year since he introduced the amendment allowing for the banks that incurred massive losses during the financial crash to carry forward those losses against taxable profits. When this was introduced, the banks were on the floor and the Government stepped in to assist the banks, as it had done in previous years. The banks are no longer on the floor. There may be borrowers in significant distress as a result of the banks' attitude towards them but we can consider that AIB has annual profits of €1.9 billion, while Bank of Ireland has a profit of €1.2 billion and is paying dividends again. This rule allows the banks to deal with their losses during the financial crisis to reduce their tax liability to the State.

We all know banks must pay their fair share. This should not only be the money pumped in by the State for them; it should be in excess of the euro for euro amount because we had to borrow that money at a significant interest rate. There were opportunity costs as a result. The banks must pay the fair share of tax on the profits that they accrue. Allowing banks to carry forward losses in the way that is currently applicable is completely and utterly unjust. I am not permitted to ask the Minister to end the scheme but I ask him to bring forward a report. Let the Department examine this and put the issue in black and white before Oireachtas Members. Let us view the report and come back to this at a later stage when the details and analysis is done by the Department. At least we could have a discussion based on a report carried out by the Department.