US multinationals call for tax cuts in Ireland

They say our high tax burden is making us less competitive...

US multinationals call for tax cuts in Ireland

Photocall file photo

US multinationals based in Ireland are "deeply concerned" about the level of tax paid by professionals - according to a new submission from the American Chamber of Commerce Ireland.

It says that reforming the tax code would make it easier to attract and keep talented workers.

Specifically, it suggests that tax on share-based remuneration needs to be overhauled and that they should not be taxed under income tax rules when the options are exercised.

The body believes that "reforms can be made within the income tax code to improve the current competitive position."

It added that doing so would "significantly enhance" Ireland's appeal to foreign firms.

The Chamber also warned that Ireland's 12.5% tax rate is "by no means sufficient" to continue to bring companies here.

Northern Ireland has already indicated that it plans to match that rate - while the UK has signalled that it intends to bring its rate down to 15%.

The American Chamber of Commerce Ireland was taking part in a public consultation by the department on the taxation of share schemes - it intends to offer a broader submission ahead of October's budget.