Written answers

Thursday, 3 November 2016

Department of Jobs, Enterprise and Innovation

Tax Code

Photo of Brendan  RyanBrendan Ryan (Dublin Fingal, Labour)
Link to this: Individually | In context | Oireachtas source

27. To ask the Minister for Jobs, Enterprise and Innovation the status of her proposal to offer a lower rate of tax to returning emigrants; if she has discussed her proposals with the Minister for Finance; and her views on whether such a proposal complies with European Union law on the freedom of movement of workers. [33016/16]

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
Link to this: Individually | In context | Oireachtas source

The goal of this Government is to support the creation of an additional 200,000 jobs by 2020 with 135,000 outside Dublin, achieve sustainable full employment and attract back 70,000 emigrants. The Action Plan for Job is delivering on these targets.

There is demand for a range of skills and experienced professionals across the economy. But recent analysis by the Irish Tax Institute highlights that at lower income levels of €18,000, Ireland has the lowest effective personal tax rate of ten countries examined. However, Ireland’s ranking is less favourable at salary levels above €55,000. This is a disincentive to attracting talent to Ireland.

I am very pleased that within constrained resources the Minister for Finance has made progress on delivering the Government commitments to reduce personal tax, improve Ireland's competitiveness for talent and Brexit related measures. These measures should also enhance our ability to achieve our target of 70,000 returning emigrants.

I placed a strong emphasis on these areas in my discussions with the Minister for Finance in advance of the Budget, including in our engagements on 10 October in Limerick.

The Minister for Finance has committed to sustaining progress in these areas in future Budgets. I will continue to work with the Minister to enhance the overall the competitiveness of our personal tax regime for all workers and the overall attractiveness of Ireland’s offering.

Comments

No comments

Log in or join to post a public comment.