The Tánaiste and Minister for Finance, Brian Cowen, today announced the establishment of a Commission on Taxation, to review the structure, efficiency and appropriateness of the Irish taxation system.
Mr Cowen said the work of the Commission will help establish the framework within which tax policy will be set for the next decade.
"It is important that the Commission take a strategic, considered and balanced perspective that recognises the evolving challenges we face," said Mr Cowen.
The Revenue Commissioner Frank Daly, who retires from his current job next month, will head up the 18-member advisory group.
The Commission will examine how to keep the overall tax burden low and advise the Minister on how to implement further changes to taxation policy over the next ten years.
It will also look at ways of introducing measures to further lower carbon emissions and to maintain that the 12.5 per cent rate of corporation tax.
Labour's Finance spokesperson Joan Burton said that while she welcomed the establishment of the Commission she had reservations about the membership and terms of reference of the Commission.
"The membership of the Commission appears to be disproportionately skewed towards those who in the past would have had a professional relationship with the very wealthy and who may well have been involved in advising clients on tax avoidance measures," she said.
She added that she was disappointed that the terms of reference made "no reference whatsoever to the capacity of high earners to minimise their tax liability through avoidance measures."
The director of the Institute of Chartered Accountants in Ireland (ICAI), Brian Keegan, welcomed the establishment of the Commission as "timely".
"The Government's intention to establish the Commission is set out in the Programme for Government and the specific reference to a carbon tax is not surprising in that context.
"We are pleased though that the Government's intention is firmly on how to maintain some of the progress made since the last Commission met like the reduced overall tax burden and the 12.5 per cent rate of corporation tax in particular," said Mr Keegan.