Thursday, 22 March 2012
Finance Bill 2012 (Certified Money Bill): Committee and Remaining Stages
Sean Barrett (Independent)
I understand this refers to films. The film tax break was reviewed by the Commission and given a mild endorsement when it stated that the benefits of the scheme to the Irish economy are very low and have declined in recent years. INDECON looked at it as it applied between 2003 and 2006. That was a time when our GDP was growing at approximately 5.5% per year. We could afford that luxury but only barely, according to INDECON. Are those arguments still valid given the decline in incomes throughout the country since then? While INDECON recommended that the rate should be continued it was a fairly limp handshake, to say the least. I am wondering if the handshake is more firm or is it still limp in terms of the updates since it examined it, given that the country is in much worse shape now than it was when this tax break was giving a fairly marginal rate of return in the past?