Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

Given the Deputy referred to the commission, it is important to point to its work. I earlier referred to the remittance basis of tax, which concerns how non-domiciled Irish residents are taxed on their worldwide income. The current rules permit long-term non-domiciled residents to avail of the remittance basis of tax, even though these individuals may have significant ties to the State. The Commission on Taxation and Welfare, which the Deputy mentioned, considered the remittance basis of tax in its report published in September of last year. As a matter of taxpayer equity, the commission recommended the remittance basis should be available only to resident but non-domiciled taxpayers for a maximum period of three years. The remittance basis of tax applies to non-domiciled but Irish-resident people, while the domicile levy applies to people who are Irish-domiciled but who may be non-resident. In the context of the commission's report, my Department will carry out a review of the remittance basis of tax next year and, as I indicated earlier, that will involve a public consultation. The domicile levy will also be reviewed, in tandem with the remittance basis of tax. I am giving a commitment to reviewing the domicile levy in that context.

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