Oireachtas Joint and Select Committees

Thursday, 5 October 2017

Public Accounts Committee

IDA - Financial Statement 2016

9:00 am

Photo of Shane CassellsShane Cassells (Meath West, Fianna Fail) | Oireachtas source

I acknowledge the positive announcement of 200 new jobs by Microsoft Ireland last night to expand its existing operation. That is good to see in the context of expanding what is already here. One story dominating the headlines, aside from the passing of our former Taoiseach, Mr. Liam Cosgrave, is the decision of Commissioner Vestager to slap down the Government and the potential for this to become a bad apple in respect of IDA Ireland's efforts in the future. Mr. Shanahan stated one of the key tenets of Ireland's value proposition is a consistent, transparent tax regime. The decision by the Commission to initiate court proceedings against Ireland has sent shockwaves through government circles. Relations will deteriorate between the Government and EU officials. How do the chief executive officers internationally whom Mr. Shanahan deals with and the potential clients the organisation is working with who may feel threatened view this? Are future deals threatened by what has transpired? We can talk about our educated workforce, our position within the EU and the fact that we are an English-speaking nation, but, at the end of the day, as Mr. Shanahan has reflected on himself, tax is a major component of the offer on the table. There are serious concerns at senior Government level that the Commission decision will be followed by a renewed focus on our corporation tax rate. What are his concise opinions on that over the past 24 hours?

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