Tax haven Ireland claims ‘wholly inaccurate’

A REPORT which highlighted Ireland as a tax haven has angered the Department of Finance which said it painted a ‘wholly inaccurate picture’.

The Oxfam report claimed that Ireland was the sixth worst country in the world for facilitating tax avoidance, behind only Bermuda, the Cayman Islands, the Netherlands, Switzerland, and Singapore.

Internal correspondence between the Department of Finance and Oxfam reveals how the Government bitterly disputed the report, which is entitled Tax Battles.

When Oxfam looked for a meeting with Finance Minister Michael Noonan to discuss the issues, they were told he was not available due to ‘diary commitments’.

A letter sent to Oxfam’s chief executive, Jim Clarken, picked apart the report, saying Ireland met none of the criteria for being a tax haven.

It said inclusion of the 12.5% corporation tax rate was ‘totally inappropriate and inaccurate’.

The letter added: ‘Ireland’s corporate tax policies are designed to attract real and substantive operations to Ireland. Ireland has not been and never will be a brassplate location.’

Minister Noonan’s officials also objected to Oxfam criticism of other tax incentives and profit shifting activities.

The charity said its staff had met with the Department in February to discuss their concerns but that they ‘stand over the findings’ of their report and would be meeting again with Finance officials.