Thousands of Gaelic games clubs around Ireland will receive between €2,660 and over €30,000 after billionaire racehorse owner and gambler JP McManus gave €1 million to the county boards in each of the 32 counties.
The €32 million gift from the currency trader prompted an expression of “sincere gratitude” from the GAA. But it led some Opposition politicians to question Mr McManus’ status as tax resident of Switzerland, where he has conducted his main business for many years.
The money from the Limerick hurling sponsor will be distributed equally among GAA, Ladies Gaelic Football Association and Camogie organisations. Sligo clubs will each receive the most money – some over €30,000 – because the county has the fewest clubs. Co Cork has the most so each will receive some €2,660.
There was no comment from Mr McManus, who gave each county board €100,000 in 2018, on his tax status.
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Social Democrat TD Jennifer Whitmore welcomed the money but had reservations about philanthropy “replacing” tax payments. “We’ve seen this happen in the US where you have incredibly wealthy people who pay little tax but who would make huge philanthrophic gestures,” she said. “I would be fearful that we could be going down that route. It comes back to the social contract, where you pay your taxes and you get your public services for them.”
Labour TD Ged Nash said a €32 million tax payment by an Irish-resident entrepreneur would not come close to making headlines. “Whatever pleasure I might take in seeing my beloved local club benefit from an unexpected windfall is more than tempered by the fact that this particular Santa Claus is tax-resident in Switzerland,” Mr Nash said.
Mr McManus’ tax residency outside the State was confirmed in American court papers opened when he tried to recover $5.2 million (€4.7 million) in tax withheld from winnings on a three-day backgammon match.
A Revenue official told the US authorities in a 2015 letter Mr McManus “has not been registered for income tax or capital gains tax in Ireland since 1995″.
The same letter said he paid a €200,000 domicile levy in 2012. The levy aims to secure “a contribution to the State, especially during times of economic and fiscal difficulty” from Irish tax exiles.
[ JP McManus profile: ‘I paid my taxes and I set up a business abroad’Opens in new window ]
Fianna Fáil TD Cathal Crowe said Opposition criticism was unfair. “They have pounced very personally on someone who continues to be an incredible philanthropist. As a Clare man, this injection of money might help us,” he said.
“I live in a border area of the county with Limerick. We always have one eye on our neighbours when it comes to hurling so this might help some counties to further develop their competitiveness in hurling and Gaelic games overall.”
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