Kieran O'Donnell (Fine Gael) | Oireachtas source

I remind Senator Horkan that just as one should never judge a book by its cover, one should never judge a Bill by its thickness. This has been a lengthy process. I compliment the Minister of State, Deputy D'Arcy, on his perseverance and patience. I also compliment the officials, who were here in great numbers, and those who contributed to the debate.

On Committee Stage I raised the issue of management buyouts, which has just been raised by Senator Horkan. I suspect that the Department and Revenue are seeking to close this anti-avoidance measure. It is extremely important for us to ensure we do not throw out the baby with the bath water.Many practitioners are concerned that this measure may have unintended consequences in cases of management buyouts involving family owned businesses and, for example, long-term employees of the business seeking a management buyout to ensure the business and its staff are retained. The Minister gave a commitment on Committee Stage in the Dáil that a statement of practice would be produced. It is extremely important that proper due diligence is done on this issue, on which interaction will be needed with the Irish Tax Institute, Chartered Accountants Ireland, the Law Society of Ireland and others to ensure this measure does not interfere with bona fide management buyouts.

We need innovators and small businesses but we also need business longevity. Companies require new blood and management buyouts. I agree with Senator Horkan that advice may be needed on this measure. I ask the Minister to urge the Revenue Commissioners to produce a statement of practice quickly. I do not want to find in three or four months that a statement of practice is nowhere in sight.

Management buyouts take place all the time. Speaking to former colleagues in practice, many are nervous about proceeding with management buyouts. Business is about continuity, movement and change. I urge the Revenue Commissioners to produce a statement of practice quickly. Proper interaction must take place with the various representative bodies, including in business, the legal and accountancy professions and so forth, to ensure bona fide management buyouts are not impeded by this anti-avoidance measure. I wish the Minister of State a happy Christmas and new year.