Donald Trump’s second Presidency could put Ireland’s huge corporation tax income at risk, Bertie Ahern has warned.
Trump campaigned on a platform of reducing corporation tax to 15% - the same level as in Ireland - in a bid to lure tech giants back to the United States.
The move could potentially see some of the Ireland largest multinationals fleeing the State – something that could have a major impact on the economy.
In the ten months to October of this year, Ireland took in €21.4 billion in corporation tax – up 35.9% on the same period last year.
This is partly due to the fact that one-quarter of the €14 billion in Apple tax money has now landed in Irish coffers.
On Newstalk Breakfast, former Taoiseach Bertie Ahern said the Irish Government always has a "harder job" dealing with Republican administrations.
“We have to get on with working with him and working with his administration,” he said.
“[Cutting] corporation tax down to 15% would be a big problem for us.
"Tariffs on everything into America from Europe, 20%, would be a huge problem for us.
“The repatriation of profits which affect reinvestments by multinational, pharmaceutical and medical appliances - that would be a huge problem for us.
“These are big issues and if I was in the position where I used to be, I’d be out getting all agencies and people… out there and talking to his advisors about the implications of some of these issues and trying to build up a base.”
Congratulations to US President-elect @realDonaldTrump on your victory. The people of the United States have spoken and Ireland will work to deepen and strengthen the historic and unbreakable bonds between our people and our nations in the years ahead.
— Simon Harris TD (@SimonHarrisTD) November 6, 2024
Mr Ahern said the Government’s economic policies have “made Ireland great again” and that officials will “need to get out there and fight on these issues”.
Despite this, he also cautioned that Mr Trump might not follow through on any of his campaign pledges.
“You’d be worried about it but one of his good traits is that he never delivers on what he says,” Mr Ahern said.
“In fact, he never does what he says and most of it is just bluster at these [rallies] that he did.”
'It’s the economy stupid’
Unlike in 2016, Mr Trump looks likely to win the popular vote in this year’s Presidential election - making him only the second Republican Presidential candidate to outpoll a Democrat in the 21st century.
It is a victory that Mr Ahern credits to the Trump campaign’s focus on the economy.
“He kept on inflation - it’s the old story ‘it’s the economy stupid’,” he said.
“On the other side of it, I think the Democrats were all over the place.
“Joe Biden should have really packed up at the midterm - he had a great victory - and it was fairly obvious, from there on, he was in trouble.
“You didn’t have to be a political expert to see that.”
Mr Trump looks set to be inaugurated on January 20th next year.
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Main image: Bertie Ahern in the Newstalk studio. Image: Newstalk
