Press Release: State aid: Commission opens an investigation procedure into changes planned by Ireland to its flat-rate tax regime based on the tonnage of ships

Following up on a notification by the Irish authorities, the European Commission decided on 15 January, 2008, to open a formal investigation into the changes Ireland plans to make to its flat-rate tax regime based on the tonnage of maritime ships (tonnage tax). This tax regime enables shipping companies not to pay company tax but to pay a flat-rate tax based on the tonnage of their fleet. The investigation concerns planned amendments to the existing time charter rules and whether the new notified scheme may apply retroactively from 1 January 2006.