Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I will get clarification on that point in a moment.

With regard to the points that Deputy Boyd Barrett put to me and my views on large companies and corporations and the tax that they should pay, I believe that they should pay their fair share of tax. We will have differing views regarding what that level of tax could be because of potentially differing views regarding those companies and the role they play. However, I strongly believe that they should pay their fair share of tax. That is the reason why I am committed to putting in place the different measures that form part of the OECD work that is underway and having them enacted in the Irish tax code. It is important that we all move in a co-ordinated way across the world to make sure that opportunities do not exist for companies to avoid paying their fair share of taxation. I strongly believe that to be the case and that is one of the reasons why I am committed to the OECD process and one of the reasons why in the Finance Bill I am seeking to make progress in that area.

With regard to the point concerning an allegation of collusion, I want to state again very clearly that we do not make tax policy on the basis of the needs of any company. We do it on the basis of what we judge and believe to be the right thing for the economy overall or for a sector within the economy. That has been my guiding principle in making this decision to go back to 80% because I believe that it is the right thing for our economy. I also believe it is the right thing in the context of the scale of these assets and their movement across the world that we have this form of taxing them.

In regard to why I will not go back, in terms of the point the Deputy raises, it goes back to the earlier point I made here that I do not do tax policy on the basis of individual companies. If I was to make a decision like this it would apply to all companies and all intellectual property assets. As I have said on a number of occasions, it is my view that if I was to make a change like that if would affect the view that people have regarding what Ireland is offering now and in the future, including many companies that have not been mentioned here that have investments in the country. It is because of that that I am making this decision and for this move that will have had effect since the night of the Budget Statement.

On the question of the section the Deputy is putting to me, that is making clear that this relief will have to apply to all of a trade as opposed to part of a trade. As currently defined, a relevant trade makes reference only to relevant activities which are carried out as part of a trade. This is now shifting that definition to say that now it must take account of all of the trade.