In a competitive professional services landscape, visible expertise can be an asset. Mary Cloonan outlines five strategic steps you can take to build trust and stand out in your field In today’s competitive environment, innovative professional services firms prioritise visible expertise to help maximise business development opportunities.  There are a few reasons visible expertise is essential for professional services. First, it’s a way to differentiate your firm from your competition. In a world where firms are constantly vying for attention, being known as an expert in your field sets you apart. Second, it’s a way to build trust with your current and future clients. When you share your ideas and knowledge, you demonstrate confidence in what you do. This confidence transfers to those who see you as an expert, instilling trust in your abilities. Third, it allows you to prioritise market development efforts and resources. By selecting a few key areas, you can focus marketing efforts to maximise returns from minimum investment. And finally, by sharing your ideas and thoughts on a given topic, you are positioning yourself as an authority – someone up to date on the latest trends and changes. To embark on this journey, here are five steps you can take: 1. Claim a segment Select a specific sector or industry segment and focus your efforts on this area. Build your knowledge through reading, attending relevant events, networking and writing about it. Sharing your ideas positions you as an authority. 2. Know your audience Understand your target audience. Identify their pain points and position your visible expertise as the solution. It also helps to tailor your knowledge to the specific needs of your audience. 3. Sharpen your skills You can’t have expertise in anything unless you stay up to date with the latest trends and changes in your industry. By continuously educating yourself, you can position yourself as an authority in your industry. Whether through articles, blog posts, speaking engagements or podcasts, ensure you have the most current information. 4. Create a profile-building plan Plan how you will share your expertise. Determine the best platforms for your content that align with your target audience’s presence. Consider a mix of content types, such as articles, blog posts and videos, to reach a wider audience. 5. Execute the strategy Consistency is key. Execute your plan effectively and keep your target audience in focus. Track your progress by monitoring website traffic and social media engagement. Once you consistently push your expertise to the target market (through articles, videos, social media posts, etc.), adapt your strategy based on the feedback and insights gained along the way. Building visible expertise is a gradual process, but by starting with these five steps, you will be on your way to becoming the top-of-mind choice for your target audience.  Mary Cloonan is the Founder of Marketing Clever

Succession is a multifaceted process that involves financial, emotional and strategic considerations. Mark Butler explores the critical aspects of ensuring the seamless transition of a business from one family member to another Succession decisions in a family-owned business can either fortify its legacy or lead to its downfall.  Having navigated the challenges of Brexit and COVID-19, businesses are now focused on long-term planning and preparing for the unexpected. In family-owned businesses, this includes succession planning, and getting the process right is crucial. Early-stage conversations The foundation of a successful succession plan is open and honest communication. Family members, especially the current owner(s), should initiate conversations about their wishes and intentions for the business’s future early to mitigate misunderstandings and conflicts down the road. By discussing their vision for the business, leaders can set expectations and ensure alignment among family members. The next generation Incorporating the next generation into the business as soon as practical is vital. This not only allows them to learn the ropes but also provides an opportunity to build the necessary skills and experience. Mentorship and on-the-job training can help bridge the generation gap and sustain relationships with suppliers and clients to ensure a smooth transition. Waiting until the last moment to involve successors can be risky, as it may leave them unprepared to take the reins. Owners should give the next generation every chance to learn while they are still there to assist.  Let go and step back One of the most challenging aspects of managing succession is the emotional struggle to let go. Founders and current owners often have a deep emotional attachment to the business they have built over the years. Knowing when to step back and relinquish control can be an emotional wrench. Recognising that this is in the best interests of the business and the family’s future can help to make the transition smoother – but not necessarily easier for many. Structure for business, not tax Structuring the business appropriately can help to ensure its sustainability during and after succession. While planning for tax efficiency is essential, it should not come at the expense of the business’s overall health. Business goals and the company’s best interests should always take precedence over tax planning. Planning first and then executing tax-efficient strategies is more prudent than forcing the business into a tax-efficient mould. Tax benefits, such as retirement relief, can help to minimise the costs of passing on the business, but they are there to help succession, not dictate it. Family shareholder agreements A robust family shareholder agreement is a cornerstone of successful succession planning. This agreement outlines the rights and responsibilities of family members with a stake in the business and addresses issues such as shareholding percentages, decision-making processes, dispute resolution mechanisms and the roles of family members within the company. A well-drafted agreement can prevent conflicts and provide a clear framework for the governance of the business. Fairness vs. equal shareholdings Fairness in succession does not always mean equal shareholdings for all. Each family member may have different skills, interests and levels of involvement in the business. The primary goal should be to ensure the long-term sustainability and prosperity of the business. This may involve distributing shares based on merit, responsibilities and contributions rather than a one-size-fits-all approach. Fairness should be synonymous with the best interests of the business and the family. Secure the business’s legacy Succession planning in a family-owned business is complex and delicate. It requires open communication, early involvement of the next generation, the courage to let go, proper business structuring, family shareholder agreements and a fair distribution of responsibilities and shares. Some business families think their company and family issues are unique. Sometimes, they are correct, but advice from experienced advisors can help to structure a succession journey that starts long before the keys are handed over. Succession should be viewed as an opportunity to secure the company’s legacy and foster growth, not merely as a financial transaction. By prioritising these elements, family businesses can ensure a seamless transition that benefits the enterprise and the family it supports. Mark Butler is Managing Partner at HLB Ireland

Budget 2024 introduced measures for individuals and businesses facing another winter of high costs. Brian Brennan discusses this year’s package and the future-focused benefits of the new State funds The tax package of €1.3 billion introduced under Budget 2024 cast a wide net across Irish society, from income tax breaks for individuals and mortgage interest relief for homeowners to a rental credit increase for tenants, tax relief for landlords and tax reliefs and supports for businesses. The Budget also provided for tax-raising measures, including extending the bank levy to raise €200 million. A substantial tax package The tax packages for Budget 2024 and Budget 2023 were substantially larger than the tax measures introduced in the two previous pandemic Budgets. While substantial budgetary packages are becoming the norm, so are the inflationary challenges facing businesses and individuals. Minister for Finance Michael McGrath had to formulate a tax package at the risk of fuelling inflation balanced against the need to take action to provide respite to households and businesses facing another winter of high energy and living costs. Given Ireland’s exchequer surplus for 2022 and forecasts of short- to medium-term surpluses on the back of strong tax yields, it is difficult to imagine the Government failing to deliver a package of this magnitude. Business measures Companies in Ireland, both multinational and indigenous, will welcome enhancements to the research and development (R&D) tax credit. The rate increase from 25 percent to 30 percent will maintain the net value of the existing credit for businesses subject to the new 15 percent minimum effective tax rate resulting from the Base Erosion and Profit Shifting (BEPS) Pillar Two reform package. SMEs and those companies outside the remit of Pillar Two will benefit from the rate increase. SMEs will also welcome the doubling of the first-year payment threshold from €25,000 to €50,000.  A new capital gains tax relief (CGT) for angel investment in innovative start-ups has the potential to provide alternative funding streams for new businesses. Qualifying investors may avail of an effective reduced rate of CGT of 16 percent – or 18 precent, if through a partnership – on a gain up to twice the value of their initial investment subject to a lifetime limit of €3 million. The details of how the new rate will apply will be set out in the Finance Bill. This is certainly a welcome initiative in supporting enterprises that hopefully avoids being so restrictive as to be of limited practical use. The Employment Investment Incentive and Key Employee Engagement Programme will also be enhanced. Minister McGrath announced the establishment of a dedicated working group focused on simplifying and modernising the administration of business supports. This was in response to feedback that the rules and requirements surrounding tax reliefs and schemes are complex, which can make them difficult to access. Plans for an extensive public information campaign with Revenue to raise awareness of the range of tax credits and reliefs available to PAYE taxpayers were also announced. Regarding revenue-raising measures, Minister for Public Expenditure and Reform Paschal Donohoe  announced an increase of 0.1 percent to all PRSI contribution rates from 1 October 2024. While the Minister described this as a “modest” increase, it paves the way for further increases in the years ahead to fund the pension system for our ageing population. Wise use of resources While tax breaks and supports dominated media coverage of Budget 2024, it is essential to acknowledge the fiscal prudence demonstrated by the Government in plans to establish two new funds to ensure that windfall taxes do not become part of Ireland’s core national spending. The Future Ireland Fund will help fund the healthcare, pension and home care costs of Ireland’s ageing population. It will receive €4 billion on the dissolution of the current National Reserve Fund and 0.8 percent of GDP annually from 2024 to 2035, with the potential to have accumulated €100 billion by 2035. The Infrastructure, Climate and Nature Fund aims to address Ireland’s record of halting capital spending during economic downturns. This fund will also support climate action with €3 billion earmarked for capital projects to help keep Ireland on track to meet carbon budgets. The National Reserve Fund will make a €2 billion contribution in 2024. Additionally, €2 billion will be invested yearly until the Infrastructure, Climate and Nature Fund reaches €14 billion. Future budgets In Budget 2024, the Government is striving to make the best use of the resources available now to alleviate the impact of inflation on households while also sustaining an environment in which businesses can grow. Of course, there is always more a government can do regarding support. However, if Ireland can achieve the funding targets underpinning the two new State funds announced under Budget 2024, the country will be in a good position to respond to unforeseen future events. Brian Brennan is a tax partner at KPMG You can hear more about Budget 2024 on the Accountancy Ireland podcast, available on Spotify, Apple Podcasts and at accountancyireland.ie.

  In this week’s Sustainability/ESG bulletin, read about the green measures announced in Budget 2024; how cost remains the main barrier to sustainability in Irish businesses; updates on the Circular Economy; the issuance of ESB’s third green bond; developments in Europe, and the usual roundup of technical updates, articles and events. Green measures announced in Budget 2024 Budget 2024 was announced this week on Tuesday 10 October. The Chartered Accountants Ireland team of experts analysed, interpreted and prepared informed, reliable commentary on the impact of this year's Budget on business in Ireland. Among the measures announced was the establishment of two funds to support climate-related initiatives over the medium and long term. Described as a ‘a gamechanger’ in addressing monetary gaps up to 2030, and a way of ‘firewalling’ major climate investment projects well into the next decade, these are: a Future Ireland Fund: a long-term savings fund with forecasted levels of contributions of c. €70 billion, or c. €6 billion per year (0.8 percent of GDP) up to 2035, to deal with future recognised expenditure pressures including ageing, climate and the digital transitions an Infrastructure, Climate & Nature Fund: a fund due to reach €14 billion by 2030, of which the climate and nature component is worth over €3 billion, to ensure that the State would have resources to support capital expenditure for projects between 2026-2030 in the event of a future downturn. The General Scheme for the funds has now been published. Further measures announced in Budget 2024 include €380 million for residential and community energy upgrades, including the Solar PV Scheme, measures related to microgeneration of electricity, reliefs related to battery electric vehicles (EVs), and the annual increase in carbon tax up from €48.50 to €56.00 (Read more) Research finds cost remains barrier to sustainability for Irish businesses The Green Business Sentiment Index, published by SSE Airtricity this week, has found that only half of businesses surveyed say that sustainability and climate change impact decision-making, down from 71 percent in 2021. The research, which was carried out among a national representative sample of 359 business owners in Ireland, aims to measure and track any change in attitude among businesses towards sustainable practices and decarbonisation since the Index was last published in 2021. The research found that cost remains the main barrier for businesses in reducing carbon footprint, and just 25 percent of Irish businesses agree that being ‘greener’ attracts more customers, down from 42 percent in 2021. 11 percent state that climate change is not at all important for businesses, whereas just 7 percent stated this in 2021, and at least 90 percent believe that it is primarily the responsibility of the Government to tackle climate change. More positively, 19 percent of businesses have incorporated solar panels into their business practices, 38 percent have incorporated smart metering into their environmental practices and the use of electric vehicles (EVs) by businesses is at its highest to date, at 15 percent. EPA publishes Circular Economy Programme Annual Report for 2022 The EPA has published a report setting out its key activities related to implementing, regulating and measuring the circular economy and waste in 2022. The Circular Economy Programme Annual Report for 2022 noted that of the €322 million spent on contracts in 2020 over €25,000, only 17 percent (€53 million), included green criteria. The EPA noted that this is “a missed opportunity to purchase more resource-efficient, less polluting goods, services and works within the marketplace.” ESB Raises €1 Billion Funding in Bond Market – including its third Green Bond The ESB Group has announced it raised €1 billion in bonds which will be used to fund its capital investment programme to deliver a net-zero future. The funds were raised through the issuance of two €500m benchmark bonds. These include a 12-year 4.25 percent fixed-rate green bond which will be allocated exclusively to finance eligible green projects, and a 5-year 4.00 percent fixed-rate bond. The issuance of the third Green Bond in five years follows on from the publication of ESB’s updated Green Bond Framework in September 2023, which reflects changes in sustainable finance best practice including aligning with the EU Taxonomy Regulation (a classification system for environmentally sustainable economic activities). Supports for women-led businesses – Northern Ireland A programme has been launched by Invest Northern Ireland (Invest NI) that aims to support women-led businesses to access support, create jobs and sell innovative products or services outside Northern Ireland. The Ambition to Grow | Supporting Women programme, supported by Women in Business Northern Ireland, will provide grant support of up to £30,000 to eligible small and medium-sized businesses that have a woman in a key decision-making position. The funding is aimed at helping to create new employment within the business and assisting with the costs of targeting markets outside Northern Ireland, technical development activities, and upskilling existing and new employees. The deadline for applications Friday, 10 November 2023. Completion of EU ‘Fit for 55' legislative package The two final pillars of the ‘Fit for 55' legislative package to deliver the EU's 2030 climate targets were adopted this week. With the adoption of the revised Renewable Energy Directive and the ReFuelEU Aviation Regulation, the EU now has legally binding climate targets covering all key sectors of the economy. The 'Fit for 55' package was tabled in July 2021 to respond to the requirements in the EU Climate Law to reduce Europe’s net greenhouse gas emissions by at least 55 percent by 2030. The final legislative package is expected to reduce EU net greenhouse gas emissions by 57 percent by 2030. The Commission also published Questions and Answers on the EU's Effort Sharing Regulation and boosting natural carbon sinks, and on Making our energy system fit for our climate targets. Separately, the European Parliament’s Committee on the Environment, Public Health and Food Safety (ENVI) has adopted its proposals to lower pollutant emissions and set battery durability requirements for passenger cars, vans, buses and trucks. Speaking about the proposals, Rapporteur Alexandr Vondra (ECR, CZ) said: “We have successfully struck a balance between environmental goals and the vital interests of manufacturers. It would be counterproductive to implement environmental policies that harm both Europe’s industry and its citizens.” Technical Updates (From our Professional Accounting team) EFRAG has announced it is recommencing the drafting of sector-specific ESRS standards. The ESRS standards are the standards s and are inviting external participants to interact with them as it commences drafting. The sectors where it is seeking participants are as follows: Agriculture, Farming and Fishing Food and Beverage Services Mining, Coal and Quarrying Motor Vehicles Oil and Gas Power Production and Energy Utilities Road Transport Textiles, Accessories, Footwear and Jewellery The International Sustainability Standards Board has congratulated the Task Force on Nature-related Financial Disclosures (TNFD) on the publication of its recommendations during New York Climate Week 2023.  The TNFD recommendations can help companies communicate nature-related risks and opportunities to investors and other stakeholders. The ISSB September 2023 Update has been issued, highlighting preliminary decisions of the International Sustainability Standards Board (ISSB). Projects affected by these decisions can be found on the work plan. The ISSB have also released their September 2023 podcast. The UK Endorsement Board has published two reports as a result of its Climate-related Matters Research Project: Climate-Related Matters: Summary of Connectivity Research A Study in Connectivity: Analysis of 2022 UK Company Annual Reports Accountancy Europe - Sustainability update – October 2023 (from our friends in Accountancy Europe) Accountancy Europe’s response to ISSB’s Agenda Consultation Ongoing trilogue negotiations on CSDDD EC seeks to adjust EU SME definition for inflation EC adopts DA on ESRS IAASB proposes a global standard for sustainability assurance IOSCO endorses ISSB standards Watch: Sustainable Supply Chains In this 15-minute chat, Institute's Sustainability Officer Susan Rossney chatted to Shane Faulkner,  KPMG's Sustainability Manager, about what why sustainable supply chains are important for SMEs, what questions SMEs might be asked by their customers and clients, and what they can do to prepare. Watch back here. Articles Less Than 1 in 3 Boards Have a Strong Understanding of ESG Risks Affecting Their Companies: PwC Survey (ESG Today) European sustainability reporting developments: what do they mean for UK companies? (ICAEW) Lego’s ESG dilemma: Why an abandoned plan to use recycled plastic bottles is a wake-up call for supply chain sustainability (The Conversation) ESG's . . . OK (The Financial Times) Why America Trails the World on Climate Fund Investing - The US has fallen far behind Europe, as well as China. But it may be waking up (Bloomberg)  Upcoming Events   Cork Student Society/Young Professionals event – Sustainability and Networking on the Apple Campus The Cork Branch of the Chartered Accountant Student Society (CASSC) is collaborating with Young Professionals Cork Society to a sustainability and networking evening in the Apple Headquarters in Cork on Thursday, 19 October. Attendees will have the opportunity network, learn about sustainability and get a tour of the Apple campus. In person: 19 October, 6pm. Women in Business (Northern Ireland) Women in Finance Women in Business is running a wide-ranging programme of female entrepreneurship events over the upcoming months. The events include sectoral networking, webinars, and training courses for essential skills. On 25 October 2023, 10am to 11:30am, a specific session on women in finance will focus on work in finance departments, small scale accountancy or work for yourself, both members and non-members are welcome to join this online event. Sustainable Finance Skillnet is offering funded training opportunities until October and November 2023 to Irish employees in the financial services sector at 30 percent of course fees (with 70 percent funding available for members of the International Sustainable Finance Centre of Excellence). A series of short, deep dive training modules on key sustainable finance topics include  •           EU Taxonomy •            Net-Zero •            SFDR (Sustainable Finance Disclosure Regulation) Book launch! Doing Good Business: How to Build Sustainable Value by Sheila Killian In Person: 19 October, 6pm, O’Mahony’s Booksellers, O’Connell St, Limerick. To celebrate the publication of Doing Good Business: How to Build Sustainable Value by Sheila Killian, Professor Finbarr Murphy, Executive Dean of the Kemmy Business School, University of Limerick will launch guide to responsible business. Wine and refreshments will be served and all are welcome. Chartered Accountants Ireland ESG Masterclass: Take your Sustainability Knowledge to the Next Level A 3-hour online masterclass providing a high-level overview of the key global, European and national regulations, standards and developments impacting sustainability governance, reporting and assurance, with an emphasis on areas highly relevant to accountants. Virtual: 26 October, 8.30-13.30, €206.25 (€165.00 Chartered Accountants Ireland Member Price) iQuest & Business Post Events The ESG Summit In person: Thursday, 9 November, Radisson Blu Royal Hotel, Golden Lane, Dublin Climate Finance Week Ireland 2023 In person and virtual: Monday, 20 November – Friday, 24 November ICAEW: ICAEW Climate Summit Virtual: 13-17 November Innovate UK:  Innovate UK's showcase for climate tech event in Northern Ireland Series of 18 'showcase for climate tech' events across the UK until September 2025. Each event focuses on a specific net zero theme or technology area. The Northern Ireland event, run in partnership with Business in the Community NI, will take place in Belfast on 6 December 2023 and will focus on digital solutions for net zero. In person: 6 December Network for Chartered Accountants working on ESG projects Are you a Chartered Accountant working in ESG or working on ESG-related projects? Would you like an opportunity to engage with other Chartered Accountants working in this space to share insights, challenges and opportunities? Chartered Accountants Ireland now has a network to allow members working in sustainability/ESG to meet and discuss all matters of interest re ESG and accounting. 3rd or 4th Wednesday of every month Next: 25 October 2023  14.00-15.00/30 Teams If you would like to attend please email sustainability@charteredaccountants.ie   You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.    

The Institute recently hosted a webinar on Corporate Enforcement Authority – Insolvency. This conversation is with Cathy Shivnan, Director of Insolvency Supervision, at the Corporate Enforcement Authority (CEA) and gives insights into the CEA’s insolvency agenda. The session also included some background on Cathy’s career and her journey from Revenue to CEA along with the evolution of the CEA from the ODCE. The recording can be accessed here.

In Irish news, CCAB-I sets out its concerns regarding the commercial impact of the revised tax treatment of GMS income of GPs in a submission to Revenue. In UK news, read our update in relation to the meeting last week with HMRC on the end of the VAT margin scheme for second-hand cars from 31 October. In International news, the OECD has reached agreement on the Pillar Two “Subject to Tax Rule”. Ireland The Institute, under the auspices of CCAB-I, has set out its concerns regarding the commercial impact of the revised tax treatment of GMS income of GPs in a submission to Revenue. The September Exchequer returns indicate risk to the public finances as corporation tax falls behind target. UK Read our update in relation to the meeting last week with HMRC on the end of the VAT margin scheme for second-hand cars from 31 October. In this week’s miscellaneous updates, HMRC has issued a reminder about the end of the certificates of tax deposit scheme on 23 November 2023. International The OECD has reached agreement on the Pillar Two “Subject to Tax Rule”. Keep up to date with all the latest Irish, UK, and international tax developments through Chartered Accountants Ireland’s Tax Newsletter. Subscribe to the Tax News by updating your preferences in MyAccount. You can also read this week’s EU exit corner here.  

Check out the North West Societies budget 24 summary here

A new Tax Advisor Liaison Committee (“TALC”) subgroup is to be established by Revenue in the coming weeks which will focus on identifying any opportunities “to simplify and modernise the administration of business supports”, an area the Institute has been lobbying for for many years. In the area of compliance, the Budget 2024 Tax Policy Changes publication confirms that Revenue will conduct a range of targeted compliance management activities in 2024. The Terms of Reference of the new TALC subgroup (which is a meeting of Revenue and representative bodies including the Institute under the auspices of CCAB-I) will be agreed at TALC with a report on the recommendations expected to be delivered during the course of 2024. In respect of the targeted compliance activities in 2024, it is expected that additional Exchequer receipts will arise from increased taxpayer compliance in the areas of eCommerce, payroll and expenses reporting and the cash/shadow economy. In addition, Revenue estimates that €180 million in refunds could potentially be due to taxpayers for 2022 alone. As a result, the Minister announced that an extensive public information campaign will be launched shortly by Revenue in order to raise awareness of the range of tax credits and reliefs available to PAYE taxpayers, in order to ensure people can avail of their full entitlements and receive any refunds that are due.  

Recognising the continuing vital importance of farming across Ireland, a number of agricultural reliefs which were due to cease at the end of 2023 have been extended, including the scheme for accelerated capital allowances on farm safety equipment. The Minister also increased the maximum aggregate lifetime limit of a number of farm-related reliefs to the maximum allowable under the new EU Agricultural Block Exemption Regulation. The VAT flat rate for unregistered farmers is also being reduced. Consanguinity relief (stamp duty) This relief is being extended for a further five years to 31 December 2028. The relief reduces the rate of stamp duty applicable to intra-familial transfers of farmland from 7.5 percent to 1 percent. The Government also published “Review of Consanguinity Relief (2023)” which makes a number of recommendations in relation to the relief, including the five year extension which is to be implemented. Accelerated capital allowances on farm safety equipment This scheme, which provides for accelerated capital allowances of 50 percent per annum in respect of  eligible equipment, and which was due to end on 31 December 2023, is being extended for three years to 31 December 2026. The expenditure must be certified by the Minister for Agriculture, Food and the Marine. Once certified, the expenditure can be written off at a rate of 50 percent per annum over two years rather than at the normal rate of 12.5 percent over eight years. Reliefs for Young Trained Farmers and Succession Farm Partnerships Stock relief for young, trained farmers, relief for succession farm partnerships and young trained farmers stamp duty relief are all being amended to increase the aggregate lifetime amount of relief available to a person under these reliefs from €70,000 to €100,000 from 1 January 2024. Stock Relief (Registered Farm Partnerships) Stock relief for registered farm partnerships is being amended to increase the threshold from €15,000 to €20,000 in the case of qualifying periods commencing on or after 1 January 2024. Flat-rate VAT compensation percentage The Minister announced that the flat-rate compensation percentage of VAT for farmers will be reduced to 4.8 percent (a reduction of 0.2 percent) from 1 January 2024. This scheme compensates unregistered farmers on an overall basis for VAT incurred on their farming inputs. According to the Budget publications, the decrease is based on macro-economic data received for the period 2021-2023.

The main measures announced were the now usual annual Budgetary increases in excise duty for tobacco products, and an extension to the current excise reductions for fuel. There were no increases in alcohol duty. Fuel excise The Minister deferred the final tranche of the various fuel duty excise increases which will now take place in two equal instalments, with the first taking place on 1 April 2024. Therefore the temporary excise rate reductions which apply to diesel, petrol and marked gas oil, and which were due to expire on 31 October 2023, are being extended. 4 cents, 3 cents and 1.7 cents will be added to petrol, diesel and marked gas oil respectively on both 1 April 2024 and 1 August 2024. Tobacco excise Excise duty on tobacco products is being increased by 75 cents, inclusive of VAT, on a pack of 20 cigarettes in the most popular price category. Pro rata increases will apply to other tobacco products. According to the Budget 2024 Financial Resolutions, this change will take effect from midnight tonight. E-cigarettes and vaping   In the context of public health interests, delays to the revision of the EU’s Tobacco Products Tax Directive and the Government’s commitment to tax e-cigarettes and vaping products, the Minister is proposing to introduce a domestic tax on these products in next year’s Budget. According to the Minister, this will involve considerable preparatory work by both the Department for Finance and the Revenue Commissioners in drafting this legislation.

Budget 2024 saw the announcement of a further €338 million to the core spending budget of the Department of Children, Equality, Disability, Integration and Youth. Included in the package is a planned increase to the National Childcare Scheme hourly subsidy from €1.40 to €2.14, effective from September 2024. Also included in this budget allocation is a €10.5 million commitment designed to improve pay and conditions for childcare workers, enhance sustainability for providers and maintain current fee freezes. Also included are measures to reduce the costs of both the school and further education cohort. Additional family related measures introduced in Budget 2024 include: funding to extend the Free School Books Scheme to all junior cycle pupils in recognised post-primary schools within the Free Education Scheme from September a €400 lump sum payment will be made to recipients of the Working Family Payment and an increase of the income threshold by €54 per week a €100 lump sum payment will be made to each child in receipt of the Qualified Child Increase an extension of the fee reduction on school transport services for a further year an extension of the fee waiver for students sitting state exams a once-off reduction of the student contribution fee by €1,000 for free fees’ students an extension of Parents Benefit to 9 weeks from August 2024 an extension of the Child Benefit payment to 18-year-olds in full time education

The Minister announced changes to the rules for capital acquisitions tax for foster children and a new capital gains tax relief for angel investment. In addition, the Minister announced some welcome enhancements to Retirement Relief, increasing both the age-limit and the asset-value limit. Capital Acquisitions Tax Foster children are to be able to avail of the Group B capital acquisitions tax lifetime tax free threshold, currently €32,500, based on their relationship to their foster parents. Capital Gains Tax (“CGT”) Retirement Relief In line with Government policy on the age of retirement, from 1 January 2025 the upper age limit for capital gains tax Retirement Relief is to be extended from 65 until the age of 70. The reduced relief which was available on disposals from age 66 onwards will now apply from age 70. Also from 1 January 2025, there will be a new limit of €10 million on the relief available up to age 70 for disposals to a child. Angel Relief A new CGT relief is also being introduced to encourage angel investment innovative start-ups, in line with the recommendation from the Commission on Taxation and Welfare. The relief will be available to an individual who invests in an innovative start-up small and medium enterprise (SME) for a period of at least 3 years.  The investment by the individual must be in the form of fully paid-up newly issued shares costing at least €10,000 and constituting between 5 percent and 49 percent of the ordinary issued share capital of the company.   The scheme will include a certification process, which will  be  carried  out  by  Enterprise  Ireland,  to ensure  the  relief  is  targeted  at  innovative SMEs that can  demonstrate  financial  viability  and compliance with the requirements of the EU General Block Exemption Regulation. Qualifying investors may avail  of  an  effective  reduced  rate  of  CGT  of  16 percent,  or  18 percent  if through  a  partnership, on a gain up to twice the value of their initial investment.  There is a lifetime limit of €3 million on gains to which the reduced rate of CGT will apply.