Ireland will raise its corporate tax rate of 12.5 per cent later this year, government sources have reported to the Irish Examiner. They expect an increase in the current rate, which currently benefits Ireland-based multinationals, to become part of a new OECD tax deal in October.
Earlier this month, the Group of Seven nations and the Organization for Economic Co-operation and Development agreed on key aspects of a global tax deal. The introduction of a minimum corporate tax rate of 15 percent is one such aspect.
In May, Irish Chancellor of the Exchequer Paschal Donohue said in an interview with Sky News that the current rate of 12.5 per cent was a “long-term commitment of the government”, which was at most willing to “capture a new impact. The global minimum rate of 15 per cent.” percent for discussion.
The government is now thinking differently about this issue. One minister told the Irish Examiner: “Ireland will continue to defend the rights of small countries to maintain some competitive advantage, but we don’t want to be shunned in a global tax deal.”
Other government sources said it was not worth becoming an “international pariah”, according to the paper, creating momentum for approval of the 15 per cent rate, whether or not “with some flexibility” – for example, by the rate slightly behind the other. Countries.
Unlimited free access to Showbytes? And that can!
Sign in or create an account and never miss a thing from the stars.
