Highlights

Knowledge Development Box: 

  • Announcement of OECD compliant and “best-in-class” Knowledge Development Box with a corporation tax rate of 6.25% applying to profits generated by qualifying R&D activities.

Corporate Tax: 

  • The Minister reiterated Ireland's commitment to the OECD’s objectives in relation to Base Erosion and Profit Shifting with the announcement of the introduction of country by country reporting.

Start-Up Exemption: 

  • The 3 year relief for start-up companies will be extended to new business start-ups in 2016.

CGT Entrepreneur Relief: 

  • A reduced rate of CGT of 20% (as opposed to 33%) has been introduced for entrepreneurs and the self-employed.

Employment and Investment Incentive Scheme (EII):

  • The amendments announced in last year’s Budget have received EU State Aid Approval and will take effect from 14 October 2015.  

Farm Succession Partnership:

  • To facilitate the transfer of family farms, plans to introduce a family farm partnership model have been announced.  The commencement of this measure is subject to EU State Aid approval.

Earned Income Credit:

  • An annual income tax credit of €550 has been introduced for self-employed individuals. 

Pension Levy:

  • The remaining pension fund levy of 0.15% will be abolished with effect from 1 January 2016. 

 

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