The former finance minister Michael Noonan enabled companies to shield all their profits from corporation tax using capital allowances

Companies claimed relief worth more than €64 billion in just two years after the government extended a tax break for multinationals.

Michael Noonan, a former finance minister, raised the level of capital allowances on intellectual property (IP) assets from 80 per cent to 100 per cent in 2014. The move allowed companies to shield all their profits from corporation tax using capital allowances — tax savings given for buying assets.

The Times revealed in June that the decision was taken despite concerns being raised by a government official. Seamus Coffey, chairman of the Irish Fiscal Advisory Council, also estimated that the state was missing out on up to €850 million of revenue each year as a result of the move.

The level of capital allowances