Bernard Durkan (Kildare North, Fine Gael)
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257. To ask the Minister for Finance the degree to which his Department has examined the number and location of countries most likely to benefit from international changes in corporation profit taxes; if it has been possible to identify the way such countries are likely to compete with this jurisdiction for foreign direct investment in the future; and if he will make a statement on the matter. [44183/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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The 140 members of the OECD's Inclusive Framework on BEPS continue to work on a two pillar proposal towards finding a consensus solution to address the tax challenges of digitalisation and globalisation of the economy.   Many of the key policy decisions of the two pillar proposal including the rate of the proposed minimum effective tax rate, as of yet, remain undecided.  We understand that the ambition of the OECD is to finalise the details of the 1 July agreement at a meeting of the OECD Inclusive Framework on BEPS on 8 October. 

The OECD carried out an economic analysis of the impact of the two pillar proposals and shared country specific findings with members of the Inclusive Framework on a confidential basis. My Department has estimated that the cost of such a change to the international tax framework, in terms of reduced corporation tax receipts, could be in the region of €800m to €2bn annually. 

Ireland has long been an attractive place for foreign direct investment and has become home to many of the worlds largest multi-national enterprises, notably in the ICT and pharma sectors.   

Aside from the headline rate of taxation there are a significant number of advantages Ireland has which ensure it will continue to be an attractive location for foreign direct investment.  Ireland is an English speaking EU Member State with direct access to the European single market, with an common law legal system, and a high quality education and research sector with a flexible and highly skilled work force.

As we move forward, we will also ensure that we continue to play to our traditional strengths, including a forward-looking business environment, a whole-of-Government approach to ensure we remain agile and competitive, and importantly recognising the value of an educated and dynamic workforce who have consistently delivered innovation and profitability over many decades for businesses that have made Ireland their home.