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Speaker 1: On the show yesterday that yesterday this is going for

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Speaker 1: growth theme. I asked Nichola Willis, the Finance Minister, if

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Speaker 1: she would cut the corporate tax rate.

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Speaker 2: We're not as competitive as we used to be. We

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Speaker 2: can't take a tax off the table because it could

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Speaker 2: make a difference to our competitiveness. We always have to

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Speaker 2: balance that against our other pressing needs.

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Speaker 1: She has said she is actively looking at the corporate

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Speaker 1: tax rate. Currently it sits at twenty eight percent. The

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Speaker 1: OECD average is twenty four percent. We've been at twenty

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Speaker 1: eight since twenty eleven. Singapore's corporate rate is seventeen. Ireland's

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Speaker 1: is twelve and a half. Remember Ireland, we all want

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Speaker 1: to be like Ireland. To discuss tax advisory expert Robin

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Speaker 1: Oliver from Oliver Shaw is with me, Good evening evening.

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Speaker 1: How do we rank.

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Speaker 3: Really lobally? As a bitister said, we're not competitive internationally

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Speaker 3: and particularly for a small country. We're more like Ireland

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Speaker 3: in Singapore, as you say, seventeen twelve point five, not

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Speaker 3: like the UK and Europe twenty five, US twenty one.

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Speaker 3: We are twenty eight. We stand out uncompetitive and I

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Speaker 3: think the government's right to say we want to be Ireland,

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Speaker 3: we want to be Singapore, a successful small open economy.

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Speaker 1: How low can we go?

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Speaker 3: Well, the governments that a buide. It's made for your

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Speaker 3: commitments to balance the books and what have you, but

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Speaker 3: to be very hard to do that if you're going

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Speaker 3: to cut taxes, because you have to have more expenditure

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Speaker 3: reductions and so forth. So the government's going to sit

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Speaker 3: back and really strategically think of how we put tax

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Speaker 3: in the next there's no point in us having a

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Speaker 3: marketing campaign to be Ireland or Singapore where we don't

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Speaker 3: have the product yourself, which is where we are. And

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Speaker 3: so we've got twenty eight percent well down to twenty

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Speaker 3: five that will cost us about a billion dollars paradum

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Speaker 3: and tax, and that still wouldn't be much competitive compared

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Speaker 3: to these small open economies. So we really have to

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Speaker 3: be bowl but targeted.

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Speaker 1: What do you mean targeted?

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Speaker 3: Who do we target?

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Speaker 1: How do we target them?

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Speaker 3: Targeted to where the tax cost is really affecting our

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Speaker 3: productivity and economic growth for most, not across the across

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Speaker 3: the board and be lovely, but where it's affecting it

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Speaker 3: the most, and that tends to be fine. Investment and

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Speaker 3: globally mobile talent. And there are many options here, you know,

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Speaker 3: one is to allow expensing deduction for the fore cost

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Speaker 3: of investment assets car'd to be sheeding, and you can

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Speaker 3: do things like say, and that's very expensive to do,

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Speaker 3: but you can say, well, we will allow you to that.

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Speaker 3: The forecast of new card and machinery over five years.

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Speaker 1: The fastest, the fastest appreciation. Robin, we did discuss that

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Speaker 1: with Nikola Willis as well and she said that is

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Speaker 1: absolutely on her radar as well. So there are a

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Speaker 1: couple of options I guess under the umbrella of texts

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Speaker 1: that they could look at. Robin, thank you very much

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Speaker 1: for your time. We have to leave it there. Robin Oliver,

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Speaker 1: tax advisor with Oliver Shore. For more from Hither Duplessy

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Speaker 1: Alan Drive, listen live to news talks. It'd be from

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Speaker 1: four pm weekdays, or follow the podcast on iHeartRadio.