Revenue eBrief No. 228/24
27 August 2024
Relief for key employees engaged in Research and Development activities (Part 15-01-40)
Tax and Duty Manual Part 15-01-40 - Relief for key employees engaged in Research and Development activities - has been updated to reflect the provisions of section 766C of the Taxes Consolidation Act 1997. Section 776C was introduced in Finance Act 2022 and subsequently amended in Finance Act (No.2) 2023. From 1 January 2023, a key employee may avail of a reduction in their income tax liability as a result of the surrender by their employer company of some or all of the research and development corporation tax credit to which that company was entitled section 766C.
The manual has been updated throughout to reflect how section 766C interacts with this relief. In addition, the examples in the manual have been refreshed to account for tax credits and tax bands applicable for the 2023 and 2024 years of assessment.