Tonnage tax scheme at all-time high Record number of firms paying flat rate

The number of international shipping services companies participating in Ireland’s “tonnage tax scheme”, which levies a nominal tax on profits regardless of their level, has reached an all-time high.

The obscure tax break can result in an effective corporation tax rate of between zero and three per cent for qualifying companies, with certain capital gains tax exemptions for qualifying assets. Tonnage tax is the payment of 12.5 per cent tax on a “notional ...