Stephen Donnelly (Wicklow, Fianna Fail) | Oireachtas source

I will make two points about Ireland's effective corporation tax rate as it relates to Brexit. We are using a great deal of diplomatic capital on Brexit. Inevitably, during conversations with European colleagues the isse of Ireland's corporation tax rate is raised. We will come under pressure over it. Much has been done in recent years, including the placing onshore of intellectual property, the closing of the double Irish and much more. New Commission data have been released which are independent and which show the effective corporate tax rates of all European countries. Ireland's performance is fine. The data strip away the headline rates of 35% or 40% for some of the bigger countries and look at what is being paid. In that context, Ireland is fine. It might be worth circulating the data.

The Government has an opportunity to communicate better in this area. Recently I was discussing Brexit with a European politician, one of those leading the work on European tax rates, and he raised the issue of Ireland's corporation tax rate. I outlined the various changes which had been made and noted that in 2015, as a result of some of these changes, our corporation tax take had increased by 50%, which was unheard of and cash proof that the loopholes had been closed. He said that information was not well known in the Commission. It is very powerful information which shows that corporation tax returns here have increased.

Sinn Féin has been sniping away bombastically for ten minutes about Fianna Fáil and I want to respond. The single greatest tax avoidance measure was section 110 used by vulture funds. I worked on the matter last year and it was Deputy Michael McGrath who said Fianna Fáil would not support the budget unless the changes were made. That was Fianna Fáil's contribution, rather than hiding behind the couch and telling others what they should do. Fianna Fáil stated it would not support the Finance Bill unless there were changes to section 110 and those changes were made. When Sinn Féin was in charge in Northern Ireland - it no longer is because it is unwilling to form an executive - it was a Sinn Féin member of the finance committee who proudly announced that they were reducing the corporation tax rate in Northern Ireland to 12.5%. In the one jurisdiction where it could do something it provided for a massive reduction in corporation tax rates.