Ireland’s long term corporate tax rate of 12.5% is among the lowest in the world. It is a key benefit to investors locating here and makes for an attractive global investment location.
The Irish government has always tried to encourage and support incoming investment into Ireland, and indeed foster a strong start-up culture at home. The tax regime is designed to be competitive and to facilitate innovation and enterprise and comprises the following programmes for businesses setting up in Ireland:
An attractive holding company regime,
25% R&D tax credit plus R&D grants,
An excellent intellectual property (IP) regime.
In 2016, the Irish government announced that Ireland will have the world’s first OECD-compliant Knowledge Development Box (KDB). This new enhancement to Ireland’s tax offering will encourage innovation and research into Ireland. This KDB will see a lower tax rate applied to profits from intellectual property that is generated as a result of research and development undertaken in Ireland.