Shane Ross (Dublin Rathdown, Independent) | Oireachtas source

I thank the House for allowing me to speak. I will be very brief. Like every other Member of this House, I thoroughly support the presence of multinationals and their contribution to this economy, particularly through the provision of employment. It has now become unfashionable to take on multinationals or challenge them in an any way in this country because they are so powerful and because we depend on them.

They did very well during the economic boom. My support for the low corporation tax rate and the continued presence of multinational companies in this country is second to none.

Notwithstanding this, many Deputies have made a very good case for examining the activities of multinational companies, particularly the tax treatment they receive. It is utterly wrong that anyone in the House would try to brush this subject under the carpet. I agree with Deputy Richard Boyd Barrett that this subject is almost taboo and free from examination because people are frightened of examining the activities of multinationals or pointing out that certain activity would not be tolerated if an Irish company engaged in it. There is evidence to support that view. For example, I am not aware of any challenge by the Revenue Commissioners to the tax treatment of any multinational company. Native companies have been treated differently, however. It makes me uneasy that we should even contemplate allowing this motion through the House without a debate because it is a very important issue.

There are straws in the wind about multinational companies which would make anybody uncomfortable. One of these is the mystery surrounding the taxation they are paying. There must be a suspicion that they are creating their own tax and deciding what tax they pay. This is done, as everybody knows, through a simple operation by which they charge certain amounts against their profits for intellectual property, thereby allowing themselves to declare and pay the sort of tax they wish to pay. These amounts are phenomenally small in terms of what the companies in question are turning over and their activities here.

One need only consider the taxation figures for the end of last year. From memory, Exchequer revenue was boosted but the figures were utterly inexplicable and no one has been able to explain them. The explanation is clear to me and anybody who is honest about this issue. This was money paid into the Exchequer by multinational companies.

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