Two pieces for the Irish Examiner this week that look at some developments in Corporation Tax.
First, on changes in royalty flows as a result of the practical ending of “double-irish” type structures and second, on Apple’s 40-year presence in Cork and the taxation of its profits.
One reply on “Some recent and historical developments in Corporation Tax”
It’s rare to find a sub-editor nowadays who can craft a headline for a piece that captures its essence, but it was done for your piece on Apple.
But “Oh, what a tangled web we weave,/ When first we practise to deceive!”
It appears that the web is being disentangled systematically and we’re not any worse off.
I suppose the most significant feature of the history of US MNEs here is the willingness of successive US administrations to provide so much indirect state aid to these MNEs by allowing them to employ tax arbitrage in foreign jurisdictions for so long – with only a gradual tapering in recent years.
Considering the huge superiority that the US approach to the governance of capitalism and economic has traditionally demonstrated over the approach applied in the EU, this indirect grant of state aid, the increasing concentration in industries where US firms dominate and the cavalier behaviour of the Tech Titans all highlight serious failings in the governance of capitalism and economic regulation. However, there is evidence that the US legislature and the relevant statutory agencies are beginning to get their acts together.
(We here, of course, wouldn’t recognise the effective governance of capitalism and economic regulation if they jumped up and bit us in the arse.)
Given the “regularisation” that has occurred, and despite more intensive EU scrutiny of the antics in the Leprechaun Economy enclave, things mightn’t work out that bad for us. However, the distortionary impact of the enclave on the domestic economy remains a concern.