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

Yes, it is that directive. The anti-tax avoidance directive, or ATAD, provided for a general transposition date of 1 January 2019, but it was also specified that where member states had pre-existing rules relating to interest deductibility that were equally effective at preventing BEPS risks, implementation could take place up to 1 January 2024. My view, which is supported by the analysis and case study data, is that our current interest deductibility rules are at least as effective as the interest limitation rule set out in Article 4 of ATAD in terms of preventing BEPS and allowing deduction for interest expense, where appropriate.

We engaged with the Commission in this regard. Yes, infringement proceedings were issued against us and they were commenced in 2019, but over 20 infringement proceedings have been issued to date against member states in regard to various aspects of ATAD transposition. Following discussions that my officials had with the Commission, we then gave further indications as to how we were going to transpose this, work on which is under way in this Bill. As a result, infringement proceedings were paused pending the transposition.

I understood the Deputy was a fan of BEPS 2.