In recent one-to-one discussions with members and when we’ve spoken at events, many of our members raised concern about the treatment of Family Business within the Irish Tax Code – and, in particular, how the tax system needs to provide better support for Irish owned Family Businesses and Entrepreneurs. We undertook to make this a priority to address and in partnership with PwC and the DCU Centre for Family Business, we conducted roundtable discussions in which many of our members participated and/or contributed content. The upshot is a pre-budget submission which was launched this morning, Wednesday 15 May 2019. Please find below a PDF of the submission.
In summary, the Pre-Budget Submission calls for the removal of the arbitrary €3m cap regarding retirement relief and seeks an increase in the threshold for capital gains qualifying for the reduced rate of CGT under Entrepreneurial relief. We’ve asked for the removal of the 3% levy on self-employed income and for refinements in the KEEP share option plan and we’ve suggested adoption of the successful UK Employee Ownership Trust incentive to help retain key talent. In addition, we’ve called for changes to bring about enhancements for investment in Irish businesses and for changes to the Appeals system, along with support for tax efficient exit scenarios. The Pre-Budget Submission highlights the areas in which straightforward and inexpensive adjustments would help Irish entrepreneurs and family businesses create jobs, retain key talent, raise investment and help intergenerational succession.
We at FBN will now engage on a programme of conversations with senior policymakers and politicians on behalf of our members.