Thinking of Moving to Ireland?

An English speaking country neighbouring the UK, Ireland offers many advantages for individuals who wish to relocate from the UK and maintain access to the European Union.

In Ireland, an individual’s residency and domicile determine their liability to income tax.  Individuals who are Irish resident and domiciled will be liable to tax on their worldwide income and gains.  However, the remittance basis of taxation for non-Irish domiciled individuals may provide an opportunity to manage and structure tax affairs in a tax efficient manner. 

Non-domiciled individuals are liable to Irish tax on Irish sourced income and gains and foreign income/ gains to the extent that they are remitted to Ireland.  There is no time limit on the availability of the remittance basis of taxation for non-domiciled individuals. Remittances of funds comprising of income and gains realised prior to the year of taking up residence in Ireland are not liable to tax.  It is important that these funds are properly structured and maintained.

For individuals moving to Ireland for employment purposes, split year relief may be available in the year of arrival, which provides that any foreign employment income earned outside Ireland up until the date of arrival would not be liable to tax even if remitted into Ireland.
 
Individuals who are assigned to Ireland by their employer may also, subject to conditions, be eligible for the Special Assignee Relief Programme (SARP).  Eligible employees earning between €100,000 and €1 million a year may claim relief under SARP over a five year period. Residence and domicile status also impacts on the charge to capital acquisitions tax (CAT) which is primarily payable by the recipient of gifts and inheritances. 

The present CAT rate is 33%.  Individuals have lifetime tax – free group thresholds and certain reliefs are available.  While there is no similar provision in Ireland for the exempt gift transfer that operates in the UK, in certain instances, non-Irish domiciled individuals are not liable to CAT.  Under Irish legislation, the charge to CAT arises when the benefactor or recipient is Irish resident or ordinarily resident or the assets are situated in Ireland.  However, for non-Irish domiciled individuals who are resident or ordinarily resident, they will not be deemed ‘resident’ for CAT purposes and will not be within the scope to CAT unless they have been tax resident for the preceding consecutive five years.

This summary is intended as a general guide. No action should be taken without obtaining professional taxation advice. If you require any advice on the above, please get in touch.

Ireland: A Premier Investment Destination for Multinational Companies

Over the years, Ireland has firmly established itself as a destination of choice for multinational companies. Its pro-business environment, skilled workforce, and strategic location make it an ideal hub for global businesses seeking to grow in Ireland and Europe.

Supporting International Businesses

At F&P, we specialize in helping international businesses set up Irish companies. Whether you’re establishing a branch, subsidiary, or standalone operation, we ensure a seamless process for creating a presence in Ireland. Our expertise includes compliance, corporate governance, and strategic guidance to help businesses thrive in Ireland and beyond.

Key Sectors Driving Growth in Ireland

• Artificial Intelligence (AI): Ireland is poised to lead the global AI revolution, with applications transforming industries from healthcare to education.

• Renewable Energy: Positioned on the edge of the Atlantic, Ireland is at the forefront of Europe’s renewable energy movement, leveraging abundant wind resources and a supportive government.

• Sports Technology: As an emerging leader in wearable tech and engagement platforms, Ireland is rapidly gaining prominence in the sports tech sector.

Why Do World Leaders Choose Ireland?

Ireland’s success as a business destination extends beyond its attractive 12.5% corporate tax rate. The country offers a wealth of benefits for multinational companies:

• Skilled Workforce: Ireland boasts the most educated population in Europe and is ranked 1st globally for the availability of skilled labor.

• Business-Friendly Environment: Ranked among the top 15 easiest places in the world to do business (World Bank Doing Business Report).

• Strategic Location: Ireland is one of only two English-speaking Eurozone countries, providing seamless access to European markets.

• Track Record of Success: Over 1,000 multinational corporations continue to expand their operations in Ireland, underscoring its reputation as a profitable and reliable base.

Key Advantages for Businesses in Ireland

• Favourable Tax Regime: A low 12.5% corporate tax rate is complemented by a 25% R&D tax credit for in-house research activities.

• Holding Company Benefits: No withholding tax on dividends from Irish holding companies to EU/tax treaty countries.

• Innovation and Technology: Ireland is a global leader in technological advancements, evidenced by the significant investment in data centres and research facilities.

• Access to Talent: Ranked 1st globally for attracting and retaining talent, Ireland offers a flexible, adaptable, and multilingual workforce.

Global Recognition of Ireland’s Competitiveness

Ireland’s strong performance in global surveys highlights its appeal as a business hub:

• 1st in the World:

• Knowledge diffusion and impact

• Economic performance (2023)

• Investment incentives

• ICT service exports

• 1st in Europe:

• Friendliest country in the EU

• STEM graduates per capita

• Employment in high-tech manufacturing

Promoting Local Business in Kinsale

Through our Doing Business in Kinsale initiative, F&P has actively promoted the region as a premier destination to live, work, and conduct business. Collaborating with key stakeholders, we’ve helped numerous companies establish operations in Kinsale, Cork, and surrounding areas, creating employment opportunities and driving economic growth.

Why Partner with F&P?

With a proven track record in assisting companies to set up and grow in Ireland, F&P offers:

• Expertise in compliance, tax, and governance

• Tailored solutions for company formation

• Strategic guidance for expansion and trade within Europe

Ireland’s unmatched combination of a business-friendly environment, talent availability, and global connectivity makes it the ultimate choice for companies seeking sustainable growth.

Contact us today to learn more about how F&P can help your business thrive in Ireland.