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Abstract

Less than 20 years ago, Ireland was termed as the ''Sick Man of Europe'' owing to its high unemployment rates, burgeoning public debt, and high levels of emigration. But since 1987 it has made brisk progress by undertaking a series of measures, the most prominent of which was its policy of granting special tax incentives to foreign investment in the manufacturing sector and to financial services companies set up within a special centre in Dublin. This low tax regime was always an apple of discord between Ireland and the European Union. But it helped the country attract a large number of foreign companies seeking low tax jurisdictions for their investments. The result has been a remarkable turnaround in the Irish economy, which has since been dubbed the ''Celtic Tiger''. The case highlights the Irish tax policy and its role in the country''s development.
Location:
Other setting(s):
2004

About

Abstract

Less than 20 years ago, Ireland was termed as the ''Sick Man of Europe'' owing to its high unemployment rates, burgeoning public debt, and high levels of emigration. But since 1987 it has made brisk progress by undertaking a series of measures, the most prominent of which was its policy of granting special tax incentives to foreign investment in the manufacturing sector and to financial services companies set up within a special centre in Dublin. This low tax regime was always an apple of discord between Ireland and the European Union. But it helped the country attract a large number of foreign companies seeking low tax jurisdictions for their investments. The result has been a remarkable turnaround in the Irish economy, which has since been dubbed the ''Celtic Tiger''. The case highlights the Irish tax policy and its role in the country''s development.

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Location:
Other setting(s):
2004

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