Dáil Éireann Debate, Tuesday - 21 May 2024
230. Deputy Duncan Smith asked the Minister for Finance to provide an estimate of the Exchequer contribution made by the pharmaceutical industry in Ireland, including corporation, payroll taxes and other relevant Exchequer contribution; and if he will make a statement on the matter. [22933/24]
View answerI am informed by Revenue that its annual research paper on Corporation Tax includes the most recent sectoral information in respect of Corporation Tax receipts and is available on Revenue’s website at www.revenue.ie/en/corporate/documents/research/ct-analysis-2024.pdf. The Deputy’s attention is drawn to Figure 3 in the paper, which notes the value of chemical and pharmaceutical manufacture contained in corporation tax receipts from the manufacturing sector.
I am advised by Revenue that statistics on corporation tax, income tax, and VAT receipts by sector are available on its website at: revenue.ie/en/corporate/information-about-revenue/statistics/receipts/receipts-sector.aspx. These statistics are provided for the years 2013 to 2022 inclusive. I understand that figures in respect of 2023 will be available on Revenue’s website in the coming weeks. Again the chemical and pharmaceutical sector receipts would be a component part of receipts for the manufacturing sector, however I am advised by Revenue that a more detailed allocation of receipts to the pharmaceutical sector is not available.
The Government recognises and welcomes the contribution of all industry sectors to our economy. Taking corporation tax as an example, the past decade has seen a notable growth in receipts under that tax head, with the pharmaceutical sector playing a significant part in this growth. Our economic success is due in no small part to Ireland’s competitive corporate tax regime which has been built on certainty and predictability. This stability, along with all the other advantages Ireland has to offer, has enabled companies, including MNEs in the pharmaceutical sector, to plan long-term investments in Ireland, generating employment and increasing economic activity.
The Government will continue to support the growth and development of all sectors, including the pharmaceutical sector into the future.
