The Irish Tax Institute is holding its annual Budget Breakfast in Dublin city centre today, where a number of experts have been looking in detail at yesterday's changes announced by Finance Minister Michael Noonan and the Minister of Public Expenditure and Reform, Brendan Howlin.
Martin Shanahan, the chief executive of IDA Ireland, says the measures announced yesterday in Budget 2015 secures Ireland as a destination for foreign direct investment. Describing yesterday's Budget as pro-investment, Mr Shanahan says the re-affirmation for an international audience of the 12.5% Corporation Tax rate was an important move. He also said the planned introduction of the "Knowledge Development Box" was also a key move. For companies already based here, Mr Shanahan said that changes to the Research and Development tax credit, the enhanced Special Assignee Relief Programme - which will help attract international talent - as well as changes to income tax and capital allowances all make Ireland a more attractive place. The IDA boss says the changes announced yesterday are positive and provide clarity and certainty in relation to Ireland's offering, as well as offering a clear roadmap for the future. He also says they good for the country's reputation and that initial feedback so far has been very positive.
Andrew Gallagher, the President of the Irish Tax Institute, also welcomed the "positive" changes announced by the two Ministers yesterday. Mr Gallagher said the Budget gave a lot of certainty to companies who want to make investment decisions here, while it also offered certainty about the country's corporation tax rate over a 10 or 20 year horizon. Mr Noonan has also "future proofed" the corporation tax rate from international changes, the tax boss said. He also welcomed the new IFSC strategy on jobs, which already employs 33,000 people. On the "Double Irish" tax scheme, Mr Gallagher said it had become a distraction and Mr Noonan has now taken the issue off the table. "We can give a clear message to international business that Ireland is a fantastic place to invest in," he added.
