Ireland to at least hit breakeven point of OECD tax reform
Ireland will at least hit the breakeven point of the government’s decision to join the OECD reform of global business taxation, and may even benefit over time, a prominent tax adviser told The Sunday Times. Raising the tax rate to 15% will bring in up to € 2 billion for the 10 largest corporate taxpayers, according to Tom Wood, KPMG’s chief tax officer, and up to € 4 billion per 100 main contributors. This will more than make up for the € 2 billion that Finance Minister Paschal Donohoe says will be lost due to the taxation of sales in other countries by multinationals based in Ireland.
Financier Dermot Desmond called buying and renting social housing from private developers and investment funds a “flawed strategy” and a “criminal waste of money,” reports the Business Post. In letters to Taoiseach Micheál Martin and Housing Minister Darragh O’Brien, Mr Desmond said investment funds are “laughing at us” as Ireland has paid a high price to keep the bill going. social housing off our balance sheet in order to avoid breaking EU financial rules by renting out housing from investment funds.
The battle between Web Summit founders Paddy Cosgrave and David Kelly will take place in commercial court on Monday, the Sunday Times writes, as relations between the two former school friends continue to deteriorate amid a flurry of lawsuits concerning an investment fund.
The Business Post also reports that Tánaiste Leo Varadkar warned Amazon earlier this year that the state’s national grid operator, Eirgrid, could not guarantee additional capacity to meet data center needs. The warning is contained in briefing notes prepared for the minister ahead of a meeting in March with Amazon Ireland boss Mike Beary, who said the U.S. company needed clarity on the capacity situation of the network.
A new state-backed offshore wind developer plans to invest up to € 3 billion in five major projects, reports the Sunday Independent. The arrival of Inis Offshore Wind, supported by the Irish Strategic Investment Fund, is a boost for the renewable energy sector. It plans to develop one gigawatt of wind capacity – enough to power 800,000 homes – at two sites off the east coast, the newspaper said.
The document also states that the European Investment Bank plans to deploy hundreds of millions of euros in additional financing for climate projects in Ireland over the next few years, with a focus on lending to local authorities.
The Hines investment fund has acquired the final phase of the Marianella development of Cairn Homes in Rathgar, the Sunday Times reports, adding that it is paying just over 60 million euros for the 107 built rental units.