Brian Lenihan Jnr (Dublin West, Fianna Fail)

My understanding is the matter is under examination by the Commission on Taxation. I confirmed that to the House.

I do not facilitate tax avoidance nor have my predecessors who were of my political interest. Deputy Burton's suggestion in regard to this subject that the Fianna Fáil organisation as a whole, which includes individuals, myself and my predecessors, have facilitated tax avoidance is wrong. I reiterate what I said. An international arrangement is in operation here, not a local one, whereby if one lives less than half the year in a country, one does not pay tax on one's overseas income in that country. One always pays tax on the income one receives in Ireland.

That said, I canvas the idea this is connected to one's allegiance to the State and the Republic and that if one affirms allegiance to the Republic, one should be obliged to pay tax in it. I fail to see how one would establish that as a basis of taxation because, presumably, many persons would voluntarily withdraw their allegiance and go back to the assertion that they live half the year in the State if they are living abroad. Deputy Burton then came back with the idea that citizenship, as a concept, should be used. That will be discussed with the next amendment. If I may, I will pass on from that subject until we come to deal with the next amendment.

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