[Fsfe-ie] Fwd: some facts and figures about the software "mega-corporations" in Ireland

James Heald j.heald at ucl.ac.uk
Fri May 28 14:06:13 CEST 2004



-------- Original Message --------
Subject: Re: [Ffii-uk-steering] Wired: Europe Braces for Patent Rules
Date: Fri, 28 May 2004 14:02:24 +0200
From: Bernhard Kaindl <bkaindl at ffii.org>
To: James Heald <j.heald at ucl.ac.uk>

On Fri, 28 May 2004, James Heald wrote:

> http://www.wired.com/news/technology/0,1282,63628,00.html?tw=wn_tophead_4
> 
> including Arlene McCarthy's latest:
> 
> "Patent protection is vital if we are to challenge the U.S. dominance in the
> software-inventions market," she said. "Mr. Stallman is naive if he believes
> that no directive is the answer. Good patent law for computer-implemented
> inventions will protect software-development companies and give them a return
> on their investment through license fees."

Argh, it's so illogical... (I claim)

my latest:

So apparently copyright does not allow for license fees on software...

If it is bad for the U.S. why was the "The U.S." asking for it so ..?

And if it's good for SME: Why is the country which is dominated by
multinationals because of it's taxes (Ireland, 35% of them not
even being resident), so eager to get this voted as in the council
and does not accept clarifying sentences?

Bernhard

PS: Some findings about Ireland from Bernard Hugueney:
--

http://www.revenue.ie/wnew/press/228e38a.htm

"Over 40% of all PC package software and 60% of business applications
software sold in Europe is produced in Ireland. US companies such as
Microsoft, Lotus, Claris, Digital, Oracle, IBM and Novell contribute
significantly to this growth;"

http://members.lycos.co.uk/socialistdemocracyie/NewsMcCreevey'sSecretMemoPartTwo.html

"In 2001 the approximately 1,200 multinationals contributed EUR1.9
billion in corporation tax - over 44% of the total.  One company,
Microsoft contributed around 10% of this total."

http://www.kpmg.ie/inv_irl/Pubs/2004/Japan_multinationals.pdf

"An exemption from corporate tax in Ireland in respect of income from
patents (royalties) where the research and subject of the patent was
developed in Ireland and an Irish resident owns the patent rights."

http://www.vfnathan.ie/articles/taxhaven.html
"A full tax exemption is available in respect of patent royalties from
registered patents where the design and testing of the patented
product was carried out in Ireland. The patents may be registered in
any country but it is also advisable to have them registered in
Ireland. Royalties must be charged on an arms length basis and be in
respect of a manufacturing activity if the owner and user of the
patent are connected."

"Almost 35% of Ireland's registered companies totalling 150,000 are
non-resident."

http://www.microsoft.com/ireland/aboutus/

- Microsoft spends some IR£267m in the Irish economy on labour
   compensation, materials and services.
- Exports in 1999 amounted to 5.5 per cent of the total Irish
   exports of goods and services
- Has generated direct income in the Irish economy in the year ending
   2000 estimated to amount to just over 2 per cent of GNP.

With 1,592 on-site employees, Microsoft thus accounts directly for
almost 7 per cent of total employment in the software industry
Has contributed an estimated at 5 per cent of all Corporation Tax
payments to the Exchequer in the year 2000.

With the links from my previous post it should be obvious that Ireland
is a IP tax haven for multinationnals. Their interest is *not* to
defend European SMEs. The Irish presidency sponsorship is not
significant in itself but does represent real ties between IR and
software multinationals.

Interesting read:
http://www.cato.org/research/articles/rugy-020604.html
Bolkenstein has been trying to stop tax evasion from Europe to US.






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