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Barosso refuses to rule out possibility of court challenge to corporate tax rate
Written by Libertas   
Thursday, 17 April 2008

Speaking after an exchange with EU Commission President Jose Barroso at the Forum on Europe this afternoon, Libertas Executive Director Naoise Nunn has said that it Mr. Barroso's refusal to deny the possibility of a court challenge to Ireland's Corporate tax rates after ratification of the Lisbon Treaty was a "devastating" indictment of the Treaty.

In an exchange with Mr Barroso at the forum, Mr. Nunn asked the Commission President to answer yes or no to the question of whether the ECJ could be asked to rule on whether Ireland's corporate tax rates "distort competition".

Such a challenge could mean that Ireland would be forced by the EU courts to abandon the one policy that has been most responsible for the country's economic success over the past 15 years.

Commenting on the exchange, Mr. Nunn said:

"Today was supposed to allay fears about Ireland's corporate tax rates being interfered with after the Lisbon Treaty. It was set up as a rehearsed, controlled, and totally orchestrated opportunity for the great leader of the commission to tell the "No" campaign that we are all fools.

Instead, we had the spectacle of the President of the Commission refusing to answer a yes or no question on the grounds that it was "too technical". This was despite his being surrounded by senior commission officials who are, presumably, intimately familiar with the text.

The fact of the matter is that the Lisbon Treaty opens the risk of a court challenge to Ireland's corporate tax rates under the pretext that they "distort competition" within the Union.

Libertas has asked "yes" campaigners repeatedly in recent weeks to respond to this charge, and each time they have refused to do so. Today the Commission President refused to do so.

The fact of the matter is that such a court challenge could be defeated. Or it could succeed. Or it could never be taken, - or it could be taken and succeed. If such a thing were to happen, the Irish economic miracle would end overnight.

This is an issue of the utmost seriousness. Within a few hours of my releasing these comments, they will be attacked as "spurious", "technical", "ridiculous", or "misleading" by Dick Roche. They are not. This may not happen, but be under no illusions that it would be permissible. In that case, Ireland's tax rates would be in the hands of the European Courts.

The Irish people should say no."

 
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