Noonan responds to Trump's tax proposals

President Trump has been outlining his plans to business leaders

Noonan responds to Trump's tax proposals

Image: RollingNews.ie

The Finance Minister says he does not think changes to US tax law will adversely affect Ireland.

US President Donald Trump has indicated that he wants to significantly lower the country's corporate tax rate.

"We are going to be cutting taxes massively for both the middle class and for companies - and that's massively," he told a group of CEOs yesterday.

"We're trying to get it down to anywhere from 15 to 20% - it's not 35%, but it's probably more 38% than it is 35%".

He also said they believe they can cut regulations by 75%, "maybe more".

"Essentially I'm talking about no tax, because if you stay here there's no tax," he suggested.

He has also discussed a "substantial" border tax for American companies producing goods abroad.

Finance Minister Michael Noonan said tax reform in the US is coming, and is being watched closely by the Government.

"Everything that changes affects everybody, but I don't think it will affect us very adversely," he argued.

"In practice the American tax rate is zero at the moment, because you don't pay the 35% until you repatriate profits - and there are [billions] of US profits held globally outside the US now".