Dáil debates

Tuesday, 22 March 2011

8:00 pm

Photo of Pearse DohertyPearse Doherty (Donegal South West, Sinn Fein)

Tá mé buíoch go bhfuil deis chainte agam ar an ábhar seo anocht. I dtús báire, ní cóir dúinn bheith san áit ina bhfuilimid anocht ar chor ar bith. Táimid anseo siocar go bhfuil polasaí lochtach glactha ag an Rialtas deireanach ó thaobh an phacáiste a fuair muid ón AE agus an IMF agus an polasaí lochtach a bhí ag an Rialtas sin agus páirtithe atá san Rialtas nua ó thaobh Chonradh Liospóin. Tá an bheirt acusan ceangailte le chéile ó thaobh an bhrú atá an tAontas Eorpach, ná go leor tíortha san Aontas, ábalta a chur anois ar an tír seo agus sinn ag déileáil le cáin chorparáide agus le CCCTB.

Táimid in áit níos laige ná mar a bhímid in am a chuaigh thart mar go bhfuil a fhios ag an Aontas Eorpach cúpla rud. Tá a fhios aige, mar gheall ar chonradh Liospóin, go bhfuil athruithe ar na rialacha agus gur féidir an cháin chorparáide a bhogadh ó áit a raibh cros againn ann go dtí QMV. Tá a fhios aige gur chaill pobal na tíre seo an deis cur ina éadan sin i reifreann mar gur thug muid cead dó sin a tharlú i gconradh Liospóin. Tá a fhios ag an Aontas fosta go bhfuilimid i ndrochdhóigh ó thaobh cúrsaí eacnamaíochta de agus go bhfuil an tír briste maidir le hioncam agus caiteachas agus go bhfuilimid anois ag lorg an tacaíochta agus nach féidir déanamh gan an tacaíocht sin atá ag teacht ón taobh amuigh. Tá a fhios ag an Aontas nach bhfuil an Taoiseach agus an Rialtas sásta seasamh go láidir agus iad ag déileáil leis na comhráití sin, cé go ndeir siad go bhfuil siad ag seasamh an fhóid, ag rá go gcuirfidh siad an t-ualach sin ar na daoine ag a bhfuil na bannaí sna bainc. Mar gheall air sin, tá a fhios ag lucht an Aontais gur féidir leo níos mó tharraingt as an Rialtas seo agus an rud atá ar an tábla ná an cháin chorparáide agus an CCCTB.

Cé nach raibh mé sa Dáil nuair a pléadh an cheist seo cúpla mí ó shin, cuireann sé in iúl dúinn na tosaíochta atá ag na páirtithe eile nuair atá an rún seo le plé sa Dáil don dara huair taobh istigh de sé mhí. Tá sé uaire díospóireachta caite againn ag plé cánach corparáide do ghnóanna móra. Tá tábhacht faoi leith ag baint leis an cheist seo, níl dabht ar bith faoi sin, agus dá mbeadh orainn an cháin sin a ardú, chaillfaí poist agus FDI agus bheadh laghdú ann sa GDP agus a leithéid.

Léiríonn sé fosta an tábhacht atá ag baint leis an cheist seo nuair a chuirtear i gcomparáid leis an méid ama a bhí againn ceisteanna móra tábhachtacha eile atá ag daoine mar an universal social charge, an Bille Airgeadais nó an Bille Leasa Shóisialaigh. Bhí mise sa Teach nuair a rith muid an Bille Leasa Shóisialaigh laistigh de chúpla uair an chloig. Caithfear níos mó ama ag déileáil le ceist chánach nach bhfuil fiú ar an tábla ag an phointe seo, dar leis an Rialtas.

É sin ráite, cuirim fáilte roimh an deis agam cúpla focal a rá. The position in which Ireland finds itself regarding corporation tax should not have arisen in the first instance. Our European partners are trying to bully us into increasing our corporation tax. As a quid pro quo, they will reduce the amount by which they are fleecing us under the European Union's portion of the bailout fund. They are aware, for a number of reasons, that Ireland is in a weakened position. They know, for instance, that the Government could allow corporation tax to be set at an EU wide level through the process of qualified majority voting. This option was not available prior to the passing of the Lisbon treaty as such a move previously required the consent of citizens in a referendum.

During the campaign on the Lisbon treaty, it was claimed that attempts were being made to muddle the issue of corporation tax. We, on this side, who successfully campaigned against the first Lisbon treaty referendum, know that Ireland retains a veto, one which lies in the hands of the Government, however. Before the Lisbon treaty was passed Ireland held two vetoes. At present, the Government may give up its veto by allowing the issue of corporation tax to be decided by a qualified majority vote. Before the passing of the Lisbon treaty, however, the Government was required to seek, in a referendum, the consent of the Irish people to take any such step.

Our European partners also know that the State is hovering on the brink of insolvency. The refusal of the Government to categorically state it will put the interests of Irish people first, including by means of enforced burden sharing on bondholders, has left our partners in Europe in no doubt that our position is weakened. As a result, they will try to force more concessions from us. Like any back street lender who offers cash up front, our partners will ensure the financial cost will be severe in the long term. This is evident in the proposals we have seen on corporation tax and in the interest rate applied to the bailout fund.

Last but not least, our partners have the mother of all Trojan horses in the form of the common consolidated corporate tax base, CCCTB. Much of the debate has focused on Ireland's refusal to increase our corporation tax rate of 12.5%. Sinn Féin will support the Government in its efforts to resist attempts to pressurise and bully us into ceding sovereignty on this issue. However, while the Government is battening down the hatches and securing the perimeter to prevent our EU partners from coming in and forcing us to increase our corporation tax rate, we forget that the Trojan horse - the common consolidated corporate tax base - is right in front of us. If the CCCTB comes into effect, one of the options available to Ireland will be to voluntarily increase our corporation tax rate in response to a significant decline in revenue from corporation tax.

The Minister of State indicated that the Taoiseach would not allow any reference to the common consolidated corporate tax base to be included in the pact for the euro. Having read the conclusions from the meeting of Heads of Government, it is clear the Taoiseach has signed up to issues related to the CCCTB.

The common consolidated corporate tax base will have a severe impact on certain countries. While there will be winners and losers, it is clear that Ireland will fall into the latter category and will probably be one of the biggest losers. This view is also expressed in a study done by Ernst & Young and commissioned by the Department of Finance. It found that some member states will be faced with difficult political choices if they participate in the CCCTB. The three choices facing Ireland if it were to decide to participate would be to reduce public expenditure - this is already the case and God forbid we would have to make further reductions - increase corporate tax rates or increase tax on households, as is also being done. These are the three stark choices a report commissioned by the Department of Finance-----

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