Ireland has finally abandoned its cherished 12.5 per cent corporate tax rate and signed up to a minimum 15 per cent global rate that will cost the country about €2bn in lost revenues.
Paschal Donohoe, finance minister, told the Financial Times big businesses could rest assured no more changes would follow the “very, very significant” shift from what had been a cornerstone of Irish policy for more than two decades.
The new tax rate will affect 1,556 companies in Ireland employing 500,000 people, among them US tech giants such as Apple, Google, Amazon and Facebook. Ireland now joins 140 countries in agreeing to the effective levy of 15 per cent on major multinationals ahead of a meeting of the OECD on Friday.
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