Bernard Durkan (Kildare North, Fine Gael)
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208. To ask the Minister for Jobs, Enterprise and Innovation the extent to which she remains satisfied of retaining the benefits of the 12.5% corporation profits tax to further industrial investment in the economy; and if she will make a statement on the matter. [33192/16]

Mary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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The Programme for a Partnership Government sets out our clear commitment to retaining the 12.5% corporation tax rate.

At 12.5% Ireland has one of the most competitive headline corporate tax rates in the OECD. Ireland’s corporate tax rate of 12.5% on trading income is an important part of the Government’s strategy of creating an enterprise friendly environment to support enterprise and entrepreneurship and to attract jobs and investment to Ireland, countrywide. The 12.5% rate is absolutely written in stone.

Ireland’s international tax strategy (October 2016) states that the cornerstone of our competitive offering remains the 12.5% Corporation Tax rate. Our 12.5% corporate tax is underpinned by a competitive regime. Our world class research and development tax credit and our best in class OECD compliant knowledge development box are there to make sure that we are competitive. Our low rate applied to a broad base ensures sustainable economic growth which will maintain tax revenues. Our corporate tax trading rate 12.5% applies to a broad base to ensure sustainable economic growth which will maintain tax revenues.

It is important to note that tax is but one part of Ireland’s enterprise policy and our ability to attract foreign direct investment, to stimulate entrepreneurship and to support Irish owned enterprises in their ambition to internationalise and to scale. Our investments in developing our RD&I infrastructures, in our education system and in helping to create attractive places throughout Ireland in which to invest, live and work are all part of Ireland’s offering. Over the past decades, Ireland has built a comparative advantage in a number of sectors, including ICT, Medical Devices, Biopharma and a strong international reputation in Food, Business Services and Internationally Traded Financial Services. Our national enterprise policy, Enterprise 2025, has set out a clear vision and suite of actions to ensure that future economic growth and investment is sustainable over the longer term – built on the foundations of competitiveness, innovation and productivity.