Tax Collection.

Tuesday, 19 October 2004

Questions (187)

Richard Bruton

Question:

319 Mr. R. Bruton asked the Minister for Finance the number of companies paying corporation tax in each year since 1997 and the forecast for 2004; and the corporation tax paid and the distribution of companies and revenue between foreign-owned and domestic companies and between companies traditionally eligible for the 10% rate and the standard rate for tax paying companies. [25133/04]

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Written answers

Minister for Finance (Mr. Cowen)

The number of companies which indicated on their tax return forms that they were liable to pay corporation tax for each of the years from 1997 to 2002 is set out below. I am informed by the Revenue Commissioners that statistics on the amount of corporation tax paid by foreign-owned companies are not separately available. However, data can be derived from corporation tax returns on the percentage of corporation tax liability attributable to companies taxed wholly or partly at the reduced rate of 10%. This information, which is available for accounting periods ending between 1 April 1997 and 31 December 2002, the latest available, is as set out below.

Year Ending	All Liable Companies	Number of Companies with 10% relief	Tax Liability of Companies with 10% relief	Other Liable Companies	Tax Liability of other Liable Companies
			€m		€m
31 March 1998	28,980	5,680	1,431	23,300	1,079
31 March 1999	31,900	5,800	1,818	26,100	1,428
31 March 2000	33,720	5,790	2,185	27,930	1,648
31 March 2001	38,730	5,620	2,716	33,110	1,737
31 December 2001	41,620	5,220	2,521	36,400	1,611
31 December 2002	46,300	5,290	2,545*	41,010	1,627*

*Breakdown figures are subject to revision.

The figures shown as the corporation tax liability of companies qualifying for the 10% relief reflect the total tax liability of these companies on all their profits, including those profits taxed at other rates. It is not possible to isolate the tax attributable solely to the effective 10% rate in such cases because certain reliefs relating to income liable for tax at both the standard and reduced rates are set off against the overall tax liability after the relief at 10% has been computed. The budget forecast for corporation tax receipts for the year 2004 is €5.384 billion.