Micheál Martin (Cork South Central, Fianna Fail)
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137. To ask the Minister for Finance the position regarding the corporation tax rate here; and if he will make a statement on the matter. [25225/14]

Micheál Martin (Cork South Central, Fianna Fail)
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138. To ask the Minister for Finance the position regarding the European Commission's intention to investigate the corporation tax rate here; and if he will make a statement on the matter. [25485/14]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 137 and 138 together.

It is important to be clear that the Directorate-General for Competition of the EU Commission is not investigating the Irish tax system or the 12.5% rate of corporation tax.  As myself, the Taoiseach and other members of the Government have repeatedly said, the 12.5% corporation tax rate is settled policy.  This position will not change.

The EU Commission have announced a State Aid investigation into Ireland which relates to a technical tax issue regarding one company's Irish operations.  I understand that the Commission are focusing on advance opinions provided to the company a number of years ago which address the calculation of the taxable base of profits of the Irish operations.

The announcement on Wednesday 11^thJune is part of a wider investigation by the EU Commission into tax rulings and patent box regimes in a number of Member States, not just Ireland.

In the Irish case, we are firmly of the view that there is no state aid in this case and are confident that we will successfully defend our position.  We are now turning our attention to providing our detailed, technical legal rebuttal to the Commission's position.