Oireachtas Joint and Select Committees

Wednesday, 18 September 2013

Committee on Finance, Public Expenditure and Reform: Joint Sub-Committee on Global Corporate Taxation

Base Erosion and Profit Shifting: Discussion with Department of Finance and Revenue

3:05 pm

Photo of Dara MurphyDara Murphy (Cork North Central, Fine Gael)
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One of the questions Mr. Tobin answered earlier relates to the nub of the issue. He mentioned that the tax changes we can put on the Statute Book are a policy issue. I suggest it is a bit more nuanced than that. We know what happened with Dell in Limerick. The cost of doing business in this country was significantly greater than in Poland and Dell left. At the moment we have a very competitive tax architecture and if we increase taxes in any way multinationals will take note. Have the Revenue Commissioners or the Department done studies that link the statistics of multinational investment with the tax regimes in a country?

Having met politicians from higher tax countries such as Portugal, I know they believe that to be the case.