Widening of tax probe takes heat off State

The issue of Ireland’s tax regime was not raised for the first time in a long time at the EU summit, showing that pressure to change its tax regime has lessened as a result of the EU investigation being widened to include all EU countries.

Taoiseach Enda Kenny welcomed the broadening out of the investigation into so-called sweetheart deals with multinationals to all 28 EU countries and said that Ireland had nothing to hide and nothing to be afraid of.

However he did admit that Ireland’s reputation was damaged by the confusion caused by the European Commission’s investigation into just three countries’ tax arrangements with multinationals.