IRISH DIVIDEND Meaning and
Definition
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The term "Irish dividend" refers to a tax planning strategy whereby multinational corporations take advantage of Ireland's favorable tax system to minimize their overall tax liability. Ireland has been known for its low corporate tax rate, which has attracted numerous foreign companies to set up their operations in the country. The Irish dividend allows these companies to repatriate profits earned in other countries to their Irish subsidiaries at a reduced tax rate.
Under this strategy, multinational companies transfer funds, in the form of dividends, from their foreign subsidiaries to their Irish subsidiaries. By doing so, they can benefit from Ireland's low tax rate on the repatriation of profits, resulting in lower tax payments compared to jurisdictions with higher tax rates.
The Irish dividend has been a controversial practice, as it has led to accusations of aggressive tax planning and profit shifting. Critics argue that it allows multinational corporations to exploit tax loopholes, reducing their tax burdens and depriving other jurisdictions of potential tax revenue.
Nevertheless, the Irish dividend is legal and has been used by many multinational corporations to optimize their tax positions. The strategy has contributed to Ireland's attractiveness as a destination for foreign investment, leading to economic growth and job creation. However, debates and discussions continue regarding the ethics and implications of such tax planning practices.
Common Misspellings for IRISH DIVIDEND
- urish dividend
- jrish dividend
- krish dividend
- orish dividend
- 9rish dividend
- 8rish dividend
- ieish dividend
- idish dividend
- ifish dividend
- itish dividend
- i5ish dividend
- i4ish dividend
- irush dividend
- irjsh dividend
- irksh dividend
- irosh dividend
- ir9sh dividend
- ir8sh dividend
- iriah dividend
- irizh dividend
Etymology of IRISH DIVIDEND
The term "Irish dividend" is a colloquialism derived from the combination of the words "Irish" and "dividend".
The term "Irish" refers to people or things associated with Ireland, a country in Western Europe. The country has a rich cultural heritage and is known for its literature, music, folklore, and distinct regional dialects. Additionally, Ireland is known for its historical divisions and conflicts, particularly between Irish nationalists seeking independence from Britain and those who supported British rule.
The word "dividend" typically refers to a payment made to shareholders as a share of profits by a company. It can also more broadly refer to any advantageous result or outcome.
The specific etymology of the phrase "Irish dividend" is not well-documented, as it appears to be a colloquial expression or slang.
