Looking Ahead to Budget 2018
Budget 2018 is due to be announced on Tuesday, October 10 by the new Finance Minister Paschal Donohoe.
Budget 2018 – Tax & Entrepreneurship
Budget 2018 must be aimed at Brexit proofing the Irish economy.
Government must look to sustain recovery in the economy and provide focused support to Irish entrepreneurs and business’ who are key to the recovery and development of the Irish economy.
In Budget 2018, Ireland must address areas where we are weak in comparison to the UK, one of our strongest competitors.
Entrepreneurship
There are currently incentives available to support entrepreneurs including Start-Up Exemptions, Start Up Relief for Entrepreneurs (Sure) and the Entrepreneur’s Relief Scheme.
One of the ways we can improve Ireland’s attractiveness compared to our competitors is to focus on attracting entrepreneurs through improving the Entrepreneur’s Relief Scheme.
At the start of 2017 the CGT rate of chargeable gains under the Entrepreneur’s Relief Scheme was reduced from 20% to 10%. This has a current lifetime limit of €1 million. The UK in comparison has a £10 million lifetime limit.
To incentivise innovation and enterprise whilst encouraging longevity, Ireland must increase the lifetime limit. The relief should be improved to increase Ireland’s attractiveness and to ensure indigenous companies continue to thrive past the start-up phase in Ireland rather than looking to exit the Irish market for better benefits elsewhere.
If you have any tax queries, contact one of our Tax Managers today!
Jane Jackson, Dundalk Office
+353 42 933 9955
Mairead Rooney, Balbriggan Office
+353 1 849 1633