• Vat Rate Increase from January 2012 - Now 23% 

    Vat Rate Increase from January 2012 - Now 23%

  • Online Irish company formation 

    Revised website coming soon.

  • Tax Exemption for New Start-Up Companies 

    No Corporation Tax for startups for 3 years:

    The Irish Revenue have published a new tax briefing in order to highlight the availability of relief from corporation tax for new start up companies under the provisions of section 486C of the Taxes Consolidation Act 1997. The article sets out details of the scheme of relief, including the maximum and marginal tax-exempt amounts allowable, the time limits for the relief and the provisions relating to the de minimis grant aid requirements.

    So who qualifies for the exemption?

    The purpose of section 486C is to encourage new business activity in the traded sector of the Irish economy.Section 486C provides relief from corporation tax in their first 3 years of operation for new companies:

    • that are incorporated on or after 14 October 2008,
    • which commence a qualifying trade in 2009, and
    • whose corporation tax liabilities do not exceed specified levels.

    Section 45 Finance Act 2010 extends the relief to such companies commencing to trade in 2010.

    How much relief is available?

    Full relief is available to a new company in any of its first 3 years of operation where its total corporation tax liability for a 12-month accounting period does not exceed €40,000. A qualifying new company with a corporation tax liability up to this amount will have its corporation tax liability reduced to nil. The maximum relief over 3 years is €120,000 (€100,000 for companies engaged in the transport sector). There is a sliding scale of marginal relief where the corporation tax liability for a 12-month accounting period exceeds €40,000 but is less than €60,000. In that instance the corporation tax payable by the company for the accounting period is reduced to an amount determined by the following formula: 3 x (T-M) x (A+B)/T where:

    • T is the total corporation tax payable by the company for the accounting period,
    • M is the lower relevant maximum amount (i.e. €40,000),
    • A is the corporation tax payable by the company for the accounting period so far as is referable to income from the qualifying trade for the accounting period, and
    • B is the corporation tax payable by the company for the accounting period so far as is referable to chargeable gains on the disposal of qualifying assets of the qualifying trade.

    For example: if a company's tax liability is €41,000 (all attributable to income from a qualifying trade), it will get relief of €38,000 and will pay €3,000, calculated as follows: 3 x (€41,000 - €40,000) x €41,000/€41,000 = €3,000 There is no relief for a company with a corporation tax liability of €60,000 or greater in any 12 month accounting period. The €40,000 and €60,000 limits are proportionately reduced for accounting periods of less than 12 months.

    Further Information:

    For further information please contact us at info@companyservice.ie or +353 (0)1 8786011.


    Full detail on revenue briefing

  • Budget 2009 - More bad news 

    Leaks on possible tax increases in the upcoming budget in December 2009 - is allready creating a media frenzy in Ireland. The key concern is that small business and people in Ireland have been taxed at such a high rate, tax enough, and cannot take any further tax increases.

  • New website launch 

    Thank you for visiting our new website launched on the 5th of May 2009. In an aim to become the number 1 resource for Irish business start-ups and entrepreneurs we’ve streamlined our online company registration service: Irish limited companies are now easier than ever to setup.

    As well as our more traditional services, we’ve also branched out in partnership with DEsign & Development, a world class web design firm. It’s important not to under estimate how a good brand, website and the power of the internet can help you sell more by getting out to market and really kick start your business.

    In addition to the above, we’ve put a significant investment into Shanghai, China. China now is becoming more and more important in gaining competitive advantages in world business, particularly in the current world business climate. We will be extending our services to offering China business start-up and support from our offices in Xintiandi, Shanghai, China. Please keep an eye on our china services website www.companyservice.com.cn and this news section for further updates.

    Lastly don’t forget to sign up to our newsletter, our monthly newsletter sends out relevant business news, discounts and updates for those of you thinking of setting up a new business.

  • Chinese company to invest in Ireland 

    REACH Tek, a chemical compliance company based in Hangzhou, China has decided to base its European operations in Ireland.

    CIRS is a regulatory affairs firm that helps companies comply with REACH, an EU directive which places the burden of chemical regulation back onto Industry.

    The official opening was attended by the Minister for Justice, Mr. Dermot Ahern.

    CIRS joins the ranks of IDA supported companies throughout Ireland including companies that rank among the largest and most successful in the world.

    CIRS joins a second Chinese company, SATIR, who has also setup in the Finnabair business park in Dundalk, Co. Louth. Dundalk may be heading for its own Asian economy – The Dundalk Dragon!

  • 2009 Start-up’s receive 3 year tax holiday 

    Budget 2009 introduced new provisions affecting most new company registrations commencing trade after the 14th of October 2009.

    Companies setup after 14th of October 2008 and starting a new trade in 2009 are fully exempt from Corporation tax and CGT gains (on assets used in this new trade) where the total gain does not exceed 40,000 Euro.

    To company will be entitled to marginal relief if chargeable gain between €40,000 – €60,000.

    This relief will apply for 3 years and the following are restricted from claiming the relief.
    - Capital gains tax arising on the disposal of development land.
    - A trade previously carried on by another person in the State.
    - Companies who are carrying on an excepted trade (i.e. land dealing and petroleum & mineral activities)
    - Professional service firms.

    If Ireland is to become a power house in International services and knowledge provisions like the above should help entice investment, stimulate the economy and encourage companies to setup in Ireland even in these difficult times.

  • Supplementary Budget 2009 

    There was a number of changes made in Aprils budget supplement. On the 7th of April 2009 the minister for Finance delivered some key changes to help boost the Irish exchequer.

    We all hope that this is the last budget of 2009, it was very much a one way budget with very little to analyse! The main changes included an increase in the Income Levy (doubling it), an Increase in PRSI rates by 0.5%, the Health levy increase and Capital gains tax increasing to 25% - for all disposals after the 7th April.

    The official Revenue budget summary is available to download here.