Ireland is the easiest country in the EU to pay business taxes in and the sixth easiest in the world, according to new research from PwC.
Issued by PwC, the World Bank and the IFC and entitled ‘Paying Taxes 2013 – The global picture’, the report covers 185 countries worldwide and looks at all taxes paid by businesses.
The research says Ireland’s effective corporate tax rate is 11.9pc, close to our statutory rate, meaning the tax here is clear and transparent.
The study, compiled by accountants PwC and the World Bank, examines the corporate taxes of 185 states.
Ireland’s rate compares well to the EU & EFTA region, which includes Iceland, Liechtenstein, Norway and Switzerland, as well as the European Union’s 27 members.
The average effective level of corporate tax in the EFTA is 12.7pc. The global average is 16.1pc.
“Ireland continues to be the shining star in the EU and EFTA region where ease of paying taxes is concerned and also continues to score excellently for the time taken to comply being third in the region. The survey demonstrates that, having simpler tax systems with competitive business tax rates, gives Ireland a real advantage in the market for attracting direct investment,” said Feargal O’Rourke, head of tax, PwC Ireland.
“One of the reasons why Ireland leads in the EU and EFTA region as the easiest country in which to deal with taxes is due to the Revenue continuing to make substantial advances in the area of electronic filing and payments and taking a proactive approach to making it easier for companies to deal with their obligations.”