Eoghan Murphy (Dublin Bay South, Fine Gael) | Oireachtas source

I reiterate that it was not anticipated that funds would be operating in this way or to this extent, hence the reason why we are making the amendment to section 22. REITs have existed for some time. Their involvement in the Irish property market is newer but they have existed in the US since the 1960s or 1970s. ICAVs are new but QIAIFs were in existence before them.

In respect of withholding tax, the purpose of the amendment is to capture the non-resident through the amendment who was not previously being captured. In the context of the introduction of capital gains tax, I reiterate that the intention is not so far from trying to make sure assets are held on to for a reasonable period. It is possible that some funds will not continue as funds as a result of this legislative change. It is possible that some funds will opt to step into a trading entity - a corporation. That is a possible outcome of this legislation that will need to be looked at a later date.

In respect of investment undertakings, the Deputy mentioned section 13(2)(b) on page 23. To clarify, that does not apply to REITs.