It’s really hard to imagine a bailout not getting a done deal, now that Europe has all-but given in on the controversial issue of whether Ireland should have to raise its corporate tax rate.Bloomberg:
Ireland won’t be required to raise its corporate tax rate as part of a European Union bailout, French President Nicolas Sarkozy said, addressing an issue that looms as a stumbling block to an aid agreement.
“When you have to tackle a deficit, you have two levers, spending and taxes,” Sarkozy said today in Lisbon at a summit of NATO leaders. “I can’t believe that our Irish friends, in full sovereignty, won’t look at both since they have more room for manoeuvre given that their tax rates are lower. But that’s not a demand or a condition, just an opinion.”