The provisions of the EU Lisbon Reform Treaty have nothing whatsoever to do with Ireland's corporation tax rates or inward investment strategies, according to Galway West Fianna Fáil TD, Frank Fahey.

"Opponents of this treaty trying to claim that this treaty will affect our corporation tax regime and our inward investment strategies aresimply scaremongering," he said.

"The role of the European Union in the area tax matters is very clear. The EU cannot make any decisions in the area of taxation unless it is with the unanimous support of all 27 EU member states."

"In other words, Ireland has a veto in Europe on any proposed tax changes. So the European Union cannot bring forward any changes to Ireland's existing corporation tax rate unless all EU 27 member states unanimously agree to such changes."

"We should reflect on one key point. Why is it that all the main Irish political parties and business groups such as IBEC, the IDA, American multi-nationals located in Ireland, the chambers of commerce in Dublin and in Cork have all called for a Yes vote ? None of these groups would call for a Yes vote if they thought for one moment that this treaty would affect our corporation tax rate into the future. The Irish corporation tax rate of 12.5 per cent has played a vital and a pivotal role in helping economic growth in our country."

"The ratification of this treaty is very positive from an Irish economic viewpoint. It sends out a resounding signal to companies and to investors around the world that Ireland is a leading and respected member of the EU that is centrally involved in European Union policy making."

"This treaty will ensure that that the EU puts in place structures which will allow it to bring forward legislation in a more simplified manner and this will help to develop the European and Irish economies to a stronger extent. There is a very strong economic reason to vote yes for this EU treaty. It will help the different national economies of Europe to grow and become more competitive and this will help job creation and investment into the future."

"82 per cent of the Irish people have full confidence in the internal market. In the year 2006, Irish based companies exported over €56 billion in goods and services to the other 26 member states of the EU. Last year, there were 136,000 IDA jobs in Ireland and these jobs generated over €3billion in tax receipts for Irish Government spending programmes."

"Under the terms of the EU Lisbon Reform Treaty, The European Union will not affect Ireland's existing policies in the field of inward investment strategies in any way whatsoever," he concluded.

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