Important measures for international investors in Ireland and investment managers with Irish investment funds and SPVs
On Wednesday 5 December 2012, the Irish Minister for Finance presented Budget 2013, the Irish government's fiscal programme of measures for the coming year, against an improving but still challenging economic backdrop.
This update summarises the relevant budget measures for international investors in Ireland, domestic companies and banks and multinational corporations with operations in Ireland and investment managers and arrangers with Irish investment funds and capital markets SPVs.
Local Property Tax
Delivering on its long-standing commitment, the government has introduced a residential property tax. Set at a rate of 0.18% on the market value of the home, the local property tax will come into effect from July 2013. A higher rate of 0.25% or so-called "mansion tax" will be charged on any portion of value of the property above €1 million.
The tax is payable on a self-assessment basis by the owner (rather than the occupier) of the property...