AIB will not pay corporate tax for almost two decades

The head of AIB says the bank will not pay corporate tax for another 18 or 19 years.

That's despite the bank reporting pre-tax profits of 1.6 billion euro last year.

AIB is allowed to write off tax costs based on previous losses of €3bn during the financial crisis.

AIB CEO Bernard Byrne has told the Public Expenditure Committee that is likely to give them almost two decades of tax-free income.

He said: "We don't definitively know is the answer because obviously, it's a calculation based on profitability at any point in time, so what we gave is a set of estimates based on a prediction of future profitability.

"If you apply for a similar number you end up somewhere between 17-18 years, I think in terms of a projection based on a set of assumptions that ultimately will vary on the actual financial performance of the bank."

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- Digital Desk

KEYWORDS: AIB, Banks

 

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