Eoghan Murphy (Dublin Bay South, Fine Gael)
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Obviously the rate that is being introduced in section 110, in so far as what will be paid, that is the rate that will be applied under this amendment when it is introduced. In so far as what the effective rate might look like, no one is anticipating as low an effective rate as 2.5%. Again, it is difficult to discuss this with the committee without going through what different assumptions can be made in so far as how one calculates out the profit that is being made on the assets. We can say 10% but it depends on what costs, deductions or debt can be built back into that. Unless we can sit down and do that work it will be difficult for me to comment on the figures presented by Deputy Donnelly.

In terms of the assets they have acquired, not all of them are Irish-based assets so not all of them will derive a taxable charge to the State when they are released, so we cannot just assume the total quantum based on what we have read in the media or what we might understand to be what those foreign institutional investors hold as being worth €50 billion or €60 billion. A number of those assets are not Irish assets so they cannot be included. Again, that speaks to the difficulty in trying to come to a calculation across the committee floor. We can engage on the issue again with the Deputy between now and Report Stage to make sure we are clear on how we arrived at the figure of €50 million and what we might anticipate discussing in the future, either next year or in a year and a half, depending on when the relevant accounting period is closed in order to understand what has been paid and what we would be satisfied with coming in. I do think the sum of €50 million is conservative.