Budget 2024

Posted in Budget

Finance (No.2) Bill 2023 sets out the legislative changes required to implement tax measures recently announced on Budget Day.

The budget tax proposals include:

  • Increasing the income tax standard rate cut-off by €2,000 for all workers, increase in PAYE tax credits and the reduction in the USC.
  • Introduction of the new landlord tax relief to help to retain rental properties in the market and increase in the Rent Tax credit.
  • Extension of Accelerated Capital Allowances for energy efficient equipment to 2025.
  • Equalising EIIS investor relief from €250,000 to €500,000 for all investments.
  • Increase in the VAT registration thresholds for SMEs to €40,000 for services and €80,000 for goods. 
  • Reduced Capital Gains Tax rate of 16% for Angel Investors in innovative SMEs on gains of up to €3m.
  • Increasing the R&D tax credit from 25% to 30%, as well as increasing the first year upfront payment from €25,000 to €50,000.
  • Extension of the VRT relief for battery electric vehicles to 2025 and the extension of BIK reliefs for battery electric vehicles to 2027.
  • The commencement of a range of amendments to the Key Employee Engagement Programme (KEEP) for the attraction and retention of staff.

Increased Cost of Business (ICOB) Grant provides

  • Funding of €250m to provide a targeted refund to businesses who are rate payers.
  • The rates grant will be paid through local authorities and benefit up to 130,000 small businesses.

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