End of ‘double Irish’ corporate tax loophole

The corporate tax rate remains at 12.5% but the Government will close a controversial loophole known as the ‘double Irish.’

In his budget speech, Finance Minister Michael Noonan said: “The tax rate is settled policy. We are 100% committed to the 12.5% corporation tax rate. This will not change.

“But increasingly tax reputation is also a key factor in winning mobile foreign direct investment. Over the last 12 months, the international rules for taxing multi-national companies have been a focus for much debate across the globe. Global challenges require global action. This is now happening through the OECD Base Erosion and Profit Shifting project in which Ireland is playing an active part.