Go back to the Europarl portal

Choisissez la langue de votre document :

  • bg - български
  • es - español
  • cs - čeština
  • da - dansk
  • de - Deutsch
  • et - eesti keel
  • el - ελληνικά
  • en - English (Selected)
  • fr - français
  • ga - Gaeilge
  • hr - hrvatski
  • it - italiano
  • lv - latviešu valoda
  • lt - lietuvių kalba
  • hu - magyar
  • mt - Malti
  • nl - Nederlands
  • pl - polski
  • pt - português
  • ro - română
  • sk - slovenčina
  • sl - slovenščina
  • fi - suomi
  • sv - svenska
Parliamentary questions
PDF 38kWORD 20k
4 August 2020
E-003261/2020(ASW)
Answer given by Mr Gentiloni
on behalf of the European Commission
Question reference: E-003261/2020

In the framework of the European Semester, the issue of aggressive tax planning (ATP) has been raised for several years in a number of country reports, including for Ireland. In 2018, 2019 and 2020, the Council adopted a euro area recommendation highlighting the systemic importance of aggressive tax planning. It also addressed a country specific recommendation in this area to Ireland in both 2019 and 2020(1).

As stated in the 2020 European Semester Country Report for Ireland(2), the current limited application of withholding tax on royalty and dividend payments going out of Ireland — which may lead to those payments being taxed at a very low rate or escaping tax altogether if they are channelled to a low or no tax jurisdiction — has been flagged as a key element facilitating aggressive tax planning through Ireland.

Moreover, as indicated in the 2019 Country Report for Ireland(3), intangibles worth billions of euros were on-shored in 2015, while companies were allowed to offset capital allowances for intangible assets against 100% of the income arising from the use of those intangibles purchased or developed between 2015 and October 2017.

The quantum was reduced from 100% to 80%, but only for new capital allowances on intangible assets. The possibility to offset capital allowances for intangible assets against 100% of the income arising from the use of those intangibles purchased or developed between 2015 and October 2017 is still effective.

(1)https://www.consilium.europa.eu/en/press/press-releases/2020/07/20/european-semester-2020-country-specific-recommendations-adopted/
(2)SWD(2020) 506 final.
https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52020SC0506&from=EN
(3)SWD(2019) 1006 final.
https://ec.europa.eu/info/sites/info/files/file_import/2019-european-semester-country-report-ireland_en.pdf
Last updated: 27 August 2020Legal notice - Privacy policy