Joan Burton (Dublin West, Labour)
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143. To ask the Minister for Finance if his Department has made an assessment of the impact of the US Tax Cuts and Jobs Act of 2017 in respect of foreign direct investment and revenue here; and if he will make a statement on the matter. [37416/18]

Paschal Donohoe (Dublin Central, Fine Gael)
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As the Deputy will be aware, Foreign Direct Investment has been a key contributor to Ireland’s economic development and growth. It has provided rewarding employment for over 300,000 people directly and a transformation of the enterprise base in Ireland.

Changes in the US tax system are very relevant for Ireland given the large volume of US investment in Ireland. My officials in the Department of Finance, and the Irish Embassy in the US, continue to monitor the situation regarding US Tax reform and continue to engage with business and others to fully understand the potential impacts of the changes to US taxation. Further Regulations remain to published by the US Treasury and IRS in respect of how parts of the new US tax rules will operate.

The level of investment from the US into Ireland cannot be attributed just to corporate tax policy – that is not a fair reflection of the many other reasons that companies choose to locate in Ireland. Factors such as availability of physical and technological infrastructure, availability of skilled staff, access to the EU market as well as culture and quality of life are also significant and important considerations.

US business will always want to have operations in the EU, and Ireland will remain very competitive and attractive as an EU location to invest in and do business from. US multinationals locating real substantial activity in Ireland will continue to be subject to Irish tax at 12.5% on their profits properly attributable to activity located in Ireland.

Ireland’s corporation tax regime will continue to be competitive while also offering long-term certainty to international business. As always, we will remain alert and responsive to any changes in the US or global tax environment.