Minister for Finance must clarify Government position on updated text of OECD tax agreement – Pearse Doherty TD
Sinn Féin Finance spokesperson Pearse Doherty TD has called on the Minister for Finance to clarify the Government’s position on the updated text of the OECD agreement to reform international taxation.
Speaking today, Teachta Doherty said:
“Sinn Féin supports the policy objectives of the OECD Inclusive Framework, recognising the need to reform an international tax system that is not fit for purpose in an increasingly globalised and digitalised economy.
“On the 14th July the Minister for Finance came before the Finance Committee and restated his objective to secure an agreement that accommodates the 12.5 percent corporate tax rate.
“Although the updated text has not been shared with the Oireachtas, it is now clear that the Government have abjectly failed to secure that objective in these negotiations.
“We believe this is in part due to the reputational damage inflicted by successive governments facilitating tax avoidance and aggressive tax planning such as the Double Irish and stateless companies.
“We are now in the bizarre situation where the French Finance Minister is providing greater clarity on the Government’s current position in these negotiations than the Government itself.
“It is time for the Minister for Finance to clarify the Government’s position and share the updated text with the members of the Oireachtas.
“Sinn Féin have been clear that remaining inside the tent following the conclusion of these negotiations is in the best interests of the State.
“Remaining outside the tent would damage our reputation and economy, and result in lost revenue that would be collected in other jurisdictions.
“It is time for the Government to clarify if they have failed in their objective, the details of the updated text, and their current position with respect to the agreement.
“These negotiations also underline the need for an industrial strategy that addresses factors other than tax competitiveness that are just as important to our economic prospects and which have been neglected by successive Governments – research and development, access to affordable housing and childcare, and investment in education and infrastructure.”