Today’s budget was certainly welcome news for Ireland’s FDI community. Minister Donohoe recognised the importance of stabilising the “volatility in our corporation tax receipts” in a “world that is dramatically changing”. This would be best served by supporting these multi-national companies, who are primarily in the tech and pharma sectors, to have confidence in our infrastructure spend. Certainly, the commitment to such spend by Minister Chambers will have been welcome.
There are also positives for these organisations in the improvements to R&D increased again this year by 5% to 35% in addition to a 5% increase last year. Minister Donohoe also made reference to negotiations still ongoing to ensure a positive interaction of the Pillar 2 global minimum tax and US tax reform.
Simplifications to the new participation exemption on shares and a commitment to an action plan to reform the regime for interest deductibility are also very welcome news for global groups and we would be keen to see the results of these as soon as possible.
Related content
