Oireachtas Joint and Select Committees
Tuesday, 15 November 2016
Select Committee on Finance, Public Expenditure and Reform, and Taoiseach
Finance Bill 2016: Committee Stage (Resumed)
2:00 pm
Eoghan Murphy (Dublin Bay South, Fine Gael) | Oireachtas source
That is a form of double taxation, but another form of double taxation would be if one were to levy a tax on the fund and the individual who invested in the ice cream shop through the fund was being both taxed at the level of the fund and at the level of their distribution, which would be their marginal rate of tax. If they had invested directly into the ice cream fund, they would only have been taxed on the distribution, which would be at the marginal rate. The second layer comes in there because they made a collective investment. The purpose of the fund is to ensure they are not subject to double taxation for investing collectively given the benefits that come from collective investment.
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