Robert Dowds (Dublin Mid West, Labour)
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151. To ask the Minister for Finance his plans to implement the OECD/IMF/World Bank recommendation that OECD countries conduct individual spill-over analysis of their tax policy to ensure that it is not adversely affecting developing countries; if he will give a reassurance that tax policy here is not being exploited to the detriment of developing countries. [27228/13]

Michael Noonan (Limerick City, Fine Gael)
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I assume the Deputy is referring to “Supporting the Development of More Effective Tax Systems”, a report to the G-20 Development Working Group by the IMF, OECD and the World Bank which was published in 2011.

As the report was prepared for a G-20 Working Group, the recommendations are, as would be expected, only addressed to G-20 member countries. The report, on page 27, considers that "it would be appropriate for G-20 countries to undertake a 'spillover analysis' of any proposed changes to their tax systems that may have a significant impact on the fiscal circumstances of developing countries". Although the recommendation is only addressed to G-20 countries, in any event there have been no changes to the Irish tax system since the report was published, that would have adversely impacted on developing countries. Indeed, one recent measure that has been designed to positively impact on developing countries has been the extension of the foreign earnings deduction to selected African countries in Budget 2013.

As a general point, the expansion of the tax treaty network is a key element of Irish tax policy. In negotiating double taxation treaties, the Revenue Commissioners aim to reach a convergence of positions that will ensure that the treaty is effective and efficient, meets the interests of each side as far as possible, is acceptable in both countries and works well in practice. The report notes the important role of double taxation treaties to serve the interests of both treaty partners.