State knows corporate tax must be reformed

The Government is very aware the country’s corporate tax regime has to be changed, according to the economist who has drawn up a blueprint to plug tax loopholes for multinationals.

The biggest worldwide changes to taxation were unveiled in Moscow at a meeting of G20 finance ministers with the message that the golden era of companies not paying taxes is over.

The Organisation for Economic Cooperation and Development (OECD) plan aims to develop rules over the next two years to revolutionise the way companies pay tax in future — to prevent them taking advantage of systems such as Ireland’s to pay little or nothing in tax .