Oireachtas Joint and Select Committees

Monday, 20 September 2021

Joint Oireachtas Committee on European Union Affairs

Developments at European Union Level: Commissioner Paolo Gentiloni

Photo of Seán HaugheySeán Haughey (Dublin Bay North, Fianna Fail) | Oireachtas source

I thank the Commissioner. It should also be noted that Ireland is agreeing without qualification to some aspects of the OECD draft proposals, particularly where big companies pay tax. The Minister for Finance has signalled approval for that. The issue remains regarding the minimum tax.

We will not contemplate no agreement arising from the OECD proposals but it would be fair to say the EU is determined to deal with these issues by itself if the global situation does not materialise. There is a view in Ireland that the proposal for a consolidated corporate tax base represents unending pressure from the Commission, and that even the agreements on Next Generation EU and our recovery plan always contain little questions about our tax base and so forth. The Commissioner would agree that tax harmonisation is not a competence of the EU. Is it not fair to say the European Commission is absolutely determined to deal with this issue? Will the Commissioner be pressing ahead with the Commission's own proposals regardless, in association with other member states? What I am trying to say is that there is never-ending pressure regarding our corporate tax rate. I am wondering what the Commissioner's view on that is. Why is it the case?

On Next Generation EU and the national recovery and resilience plan, everybody is in awe of the way in which the EU dealt with the pandemic and the unprecedented measures it took to provide finance, borrow the money and so forth. I agree with what the Commissioner says on the Irish plan and thank him for that. I am referring to our attempt to advance the green agenda and the green transition, to accelerate and expand digital reforms and to support social and economic recovery and job creation. The quality of our plan was remarked upon by the Commission. How does the Commissioner envisage the fund being monitored? I am sure it has been outlined but will there be careful monitoring of our plan? Is there a possibility of more funding being provided under the recovery and resilience facility?

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