In order to facilitate intra-group financing, Vermilion was setting up a Hungarian company that would have a branch in Luxembourg, with an office, a desk, a telephone, fax number and one employee on its payroll.
News Release – Issued by Shell to Sea
November 7th , 2014 – For immediate release
— Corporation tax is only means of extracting revenue from Irish resources —
Shell to Sea has called on Minister for Energy and Natural Resources Alex White to clarify what impact Corrib Gas partner Vermilion’s Luxembourg tax avoidance deal – revealed in today’s Irish Times – will have on the revenue the exchequer thinks it will earn from the Corrib gas field. [1]
Spokesperson Maura Harrington said: “Under Ireland’s dysfunctional licensing terms, corporation tax is the only means the State uses to extract revenue from gas or oil found under Irish territory. Today’s revelation that Vermilion is using a Luxembourg tax avoidance deal to reduce its tax bill in Ireland raises serious questions for Minister Alex White and the Government.”