Pádraig Mac Lochlainn (Sinn Fein) | Oireachtas source

I thank Senator Reilly.

There is not much to say on this short Bill other than to say that I welcome the amendment to the Companies Act. Sinn Féin is happy that the benefits of the continuation of section 279 are not compromised by damages to the Exchequer. In short, the Bill extends the deadline in section 279 of the Companies Act 2014 to December 2030 so that certain companies can continue to prepare and file their financial statements using the American accounting standards. The amendment also provides that the exemption in section 279 will not be available to companies that do not avail of it now. I recognise that both the US generally accepted accounting standards and the international reporting mechanisms are to a high standard. This continued exemption provides an ease of doing business and spares some companies the associated costs of switching systems.

I have examined the various submissions on the Department's website regarding the Bill. It is fair to say that the extension is largely uncontentious and welcomed by most. Of the 23 submissions received, 22 stated that the deadline should be extended. Only one submission - that of the Irish Tax Institute - did not make a recommendation. The submission by Chambers Ireland argued that failure to allow for an extension would result in a significant cost to companies and that extending the provision would maintain Ireland's international competitiveness.

I welcome that companies will not endure excessive costs if we pass the legislation. Excessive costs for businesses would be of no benefit to the Exchequer. There is no reason to add financial pressures to the companies that currently avail of the exemption. Ensuring that companies will not come under excessive financial pressures also ensures that the ordinary workers of Ireland will not suffer under business that is being compromised by undue costs. Overall, I welcome the extension of the provision within the Companies Act. It makes Ireland a more attractive destination for some companies, with no apparent cost to the ordinary Irish citizen.