Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

One of the states that was in our corner in this regard was the UK, which is about to leave the EU and that changes the political dynamic in Europe. I welcome the fact that it will be resisted, and rightly so.

We have had many discussions about the BEPS process, the Minister will be aware that last week the OECD issued a policy note on the inclusive framework addressing tax challenges in the digital economy. For the first time it has talked about the allocation of taxing rights. That is a significant move from the OECD in respect of the BEPS process. It is in the chapter on the proposed way forward where it suggests a pay-where-you-earn scenario, as opposed to where the physical infrastructure is and where the employees are. That would be a significant issue for Ireland given the number of companies that are taxed here. If we had a pay-as-you-earn scenario, the State's revenue would be significantly reduced. What is Ireland's position on the proposal? Is it the case that Ireland will resist that? Does it not flag up as well the vulnerability of some of our taxation positions if this were to take place, given the heavy reliance on a number of companies, regardless of whether they remain here, in the future? There would be a significant reduction in taxation accrued from them.