The OECD launched the findings of its Economic Survey on Ireland in a joint press conference with the Department of Finance. According to the OECD, economic recovery in Ireland since the international economic crisis has been stronger than in any other OECD country with a rapid reduction in the unemployment rate from above 15 percent in early 2012 to around 6 percent in 2018.

From a tax perspective, the report makes the following observations and recommendations:

• Some aspects of Ireland’s tax system both narrow the tax base and distort the efficient allocation of resources, noting land for housing in particular. The OECD recommends that such distortions can be corrected with a reduction in the number of VAT rates and the regular assessment of property values for the purposes of calculating local property tax.
• The report says that the design of the local business tax and regulations related to commercial property and legal services weigh on the productivity of entrepreneurial firms. The OECD recommends that businesses in Ireland should be supported by a reduction in the price of construction permits and fees on registration of property charged by the relevant authorities. The OECD also calls for the introduction of new forms of legal businesses and the replacement of local business tax with a broad-based land tax.