Corporation Tax

The Corporation tax rate remained unchanged @ 12.5% in Budget 2020.

Budget 2020 also announced that there will be changes to the R&D tax credit for small and micro companies including an increase in the rate to 30% from 25%.

There will be a special 6.25% rate of corporation tax to apply to the profits arising to certain patents and copyrighted software which are the result of qualifying Research & Development carried out in Ireland.

There will be a special 6.25% rate of corporation tax to apply to the profits arising to certain patents and copyrighted software which are the result of qualifying Research & Development carried out in Ireland.

The 2003 base year restriction on R&D expenditure will be removed from 01 January 2015.

The 3 year tax exemption on start-up companies will be extended in 2015.

Companies registered in Ireland must now also be tax resident in Ireland resulting in the closing of the ‘Double Irish’ tax loophole. This is immediate for new companies and will be phased in for existing companies.