Feature Article
40 Days To Go: Have You Got Your Annual Dinner Ticket Yet?

 

With less than 40 days to go to our 2019 Annual Dinner on Thursday 10th October in The Convention Centre Dublin, we are delighted to confirm an amazing line-up of speakers on the night including: Tánaiste Simon Coveney, Alan Joyce, CEO, Qantas, Colin Hunt, CEO AIB and Niall Gibbons, CEO, Tourism Ireland. Sponsored by AIB, Dublin Chamber's Annual Dinner is the largest business dinner in Ireland and is a must attend event in the Irish business calendar. Tickets are selling fast, book yours here.


No-Deal Brexit Preparation Factsheet

 

With a no-deal Brexit looking increasingly likely, Dublin businesses urgently need to take steps to prepare for the potential impact. Check out the No-Deal Preparation Factsheet on our website here.


What’s the EIIS Scheme & How Can it Help Your Business?

 

During 2018 there were growing calls for the Employment and Investment Tax Incentive (EIIS) to be overhauled. The frustration being voiced by entrepreneurs and investors stemmed from issues such as the lack of available finance, delays in obtaining EIIS approval and a rigid interpretation of State Aid rules. Find out what the EIIS is all about and how it can help your business. 


During 2018 there were growing calls for the Employment and Investment Tax Incentive (EIIS) to be overhauled. The frustration being voiced by entrepreneurs and investors stemmed from issues such as the lack of available finance, delays in obtaining EIIS approval and a rigid interpretation of State Aid rules.

 

Pressure from investors and companies seeking funding resulted in the Government commissioning a report from Indecon Consultants which sought to evaluate Ireland’s EIIS (and SURE) relief. On foot of this report a number of changes were made to these reliefs in the 2018 Finance Act.  

 

The EIIS allows individuals to reduce their income tax bill on a staged basis over a four year period. The main features of the relief are as follows:

  • The maximum annual relief for an investor is €15ok and any unused relief may be carried forward to future years,
  • The investor must hold the shares for a minimum of four years,
  •  The fundraising limit for companies is €5m annually, with a €15m lifetime limit, and
  • The company must carry on a “qualifying trade”. Most trades should qualify but there are certain exceptions (e.g. dealing in shares, financing activities, dealing in development land etc).

 

We deal with many SMEs, some of which are start-up and scaling companies, and have found that the following are the key issues that impact them on a practical level when it comes to the EIIS, including:  

  • Self-certification: Budget 2019 introduced a self-certification process for EIIS relief claims. Although this should make the process more efficient, it does give rise to an element of risk as companies are in effect underwriting whether or not the company qualifies for EIIS.   
  • Timing of funding: First rounds of funding will only qualify for EIIS if received within 7 years of the commencement to trade. For second or subsequent rounds of funding, the fundraising must be envisaged in the company’s original business plan. Careful drafting of your business plan is therefore critical.
  • Investments from related parties: Investments in companies controlled by relatives may no longer qualify for EIIS. However, as an alternative is may be possible to claim the new Start-Up Capital Incentive (“SCI”). The SCI is similar to the EIIS in many ways but the qualifying investment is capped at €500k.
  • Personal holding companies: Personal holding companies potentially have a number of tax/commercial advantages for founders/investors. They can, however, cause issues for EIIS relief where the founder/investor holds a controlling shareholding (via, for example, their personal holding company) in the company seeking to qualify for EIIS. 
  • SURE (“Start-Up Relief for Entrepreneurs”) relief: Although it has not been that widely used, SURE relief can be a useful source of finance where an individual leaves PAYE employment to start their own business.

The changes in the 2018 Finance Act, which implemented some of the recommendations in the Indecon Report, were broadly welcomed by practitioners. While it is still early days these changes have the potential to simplify the application process and reduce delays in the processing of claims.  

 

It is worth noting that there was another public consultation on the EIIS scheme earlier this year. This was a positive development because it might help improve the scheme. For example, the annual €150k investment limit available under EIIS should be increased to a level closer to €1m to compete with the equivalent relief in the UK. Similarly, full EIIS relief should be given to investors in the year of investment rather than the current phased system (75% relief in year of investment and 25% balance in year 4).

 

It is interesting to note that according to Revenue statistics, funding raised under the EIIS in any single year has yet to exceed the amount raised under the “old” BES scheme in 2008. This is despite the gradual relaxing of the EIIS legislation and the increase in investor sentiment in recent years. Hopefully changes will be made to the EIIS in the 2020 Budget to make the scheme more attractive so that SME’s can get access to much needed finance. Time will tell!   

Pre-Budget Campaign In Full Swing

 

Dublin Chamber’s pre-budget campaign is now underway, putting entrepreneurs and the Irish SME sector front and centre. The Chamber has been campaigning actively on business priorities over the last several months, arguing for improvements to a range of supports for entrepreneurs and SMEs. In its pre-budget submission, soon to be published, Dublin Chamber calls for Ireland to outmatch the UK on business competitiveness ahead of Brexit. The Chamber is leadings its recommendations with a call to move towards a 20% rate of Capital Gains Tax for all unlisted trading firms.


Dublin Chamber’s pre-budget campaign is now underway, putting entrepreneurs and the Irish SME sector front and centre. The Chamber has been campaigning actively on business priorities over the last several months, arguing for improvements to a range of supports for entrepreneurs and SMEs. In its pre-budget submission, soon to be published, Dublin Chamber calls for Ireland to outmatch the UK on business competitiveness ahead of Brexit. The Chamber is leadings its recommendations with a call to move towards a 20% rate of Capital Gains Tax for all unlisted trading firms.

 

Dublin Chamber is calling for a prudent fiscal policy that will avoid overheating the economy while also preparing the exchequer to provide for a productive stimulus package in the event of a hard Brexit. Ireland must remain attractive to international investors while also taking action to avoid excessive reliance upon a small number of highly mobile businesses. This will require the strengthening of Ireland’s indigenous business base, both to increase the size of the overall economy and to increase the proportion of it accounted for by Irish firms.

 

According to Director of Public & International Affairs Aebhric McGibney: “As the last Budget before the UK’s exit from the EU, Budget 2020 has the opportunity to demonstrate serious intent about business competitiveness vis-à-vis the UK as well as its commitment to long-term planning and infrastructure investment. Government should send a strong signal in both respects. The announcement of the National Planning Framework and the accompanying National Development Plan has been followed by subsidiary plans for investment at regional and city level. It is important that Budget 2020 follows through on these, and the Chamber is offering recommendations to ensure stable and steady delivery of priority infrastructure projects.”

 

Dublin Chamber is recommending use of the fiscal space to prepare Dublin for the challenges ahead by strengthening the fundamentals of the economy. This will mean supporting Irish enterprise, investing in infrastructure and housing, and improving access to labour for businesses. Key recommendations include:

 

  • Cut Capital Gains Tax to 20% for unlisted trading firms.
  • Outmatch the UK on Entrepreneur Relief by raising the lifetime limit.
  • Prioritise critical infrastructure projects in the Greater Dublin Area.
  • Adopt new fiscal rules to guarantee delivery of planned infrastructure.
  • Reduce the marginal tax benefit rate for second earners in a family with children.
  • Improve the National Childcare Scheme to improve childcare affordability.
Our New Online Carnet System

 

The Chamber is launching a new online carnet issuing system from Monday 2nd September. We will also be issuing China Taiwan CPD Carnets as well as ATA Carnets from that date.


E-Scooter Progress: Government Launches Public Consultation

 

This week much anticipated news of the Road Safety Authority’s report on the use of e-scooters hit the media. The Department of Transport closely followed with an announcement that a public consultation on Personal Powered Transporters, the most common of which being e-scooters, will be open on 1st September. More information on the public consultation can be found here.


This week much anticipated news of the Road Safety Authority’s report on the use of e-scooters hit the media. The Department of Transport closely followed with an announcement that a public consultation on Personal Powered Transporters, the most common of which being e-scooters, will be open on 1st September. More information on the public consultation can be found here

 

Dublin Chamber has been advocating for the positive regulation of e-scooters as low emission and efficient urban transport to policymakers and in the media since our submission to the Department of Transport late last year. This submission can be found here.

 

Input from members on the Dublin Chamber submission to the Public Consultation can be sent to sinead@dublinchamber.ie

Chamber to Lead Business Delegation to London

 

In advance of Brexit, Dublin Chamber’s President, Niall Gibbons and CEO, Mary Rose Burke will lead a business delegation to London on Tuesday 10th September. The purpose of the mission is to offer attendees the opportunity to discuss the implications of Brexit and to network with London based Irish and UK businesses.


In advance of Brexit, Dublin Chamber’s President, Niall Gibbons and CEO, Mary Rose Burke will lead a business delegation to London on Tuesday 10th September. The purpose of the mission is to offer attendees the opportunity to discuss the implications of Brexit and to network with London based Irish and UK businesses.

 

The visit will include an afternoon of policy and business panel discussions in the Irish Embassy followed by an evening networking event in the House of Commons by invitation of Conor McGinn MP for St Helens North and Chair of the All Party Parliamentary Group on the Irish in Britain and Neil Coyle MP for Bermondsey and Old Southwark. Should you wish to join the mission or evening reception please contact events@dublinchamber.ie.

Have You Registered For The Dublin Economics Workshop?

 

We are proud sponsors of the 42nd Annual Economic Policy Conference at the Clayton Whites Hotel, Wexford. Running over two days from the 13th - 14th September, the Dublin Economics Workshop is Ireland’s premier forum for policymakers, politicians, economists, practitioners and those generally interested in policy debate.


More News
Dublin Chamber & Northern Ireland Chamber Meet Taoiseach in Belfast
 

Dublin Chamber and the Northern Ireland Chamber of Commerce and Industry welcomed Taoiseach Leo Varadkar to a joint meeting in Belfast this month. The two Chambers met to discuss the implications of Brexit for both economies. Over a dozen business leaders from both sides of the border were joined at the private meeting by the Taoiseach.


Dublin Chamber and the Northern Ireland Chamber of Commerce and Industry welcomed Taoiseach Leo Varadkar to a joint meeting in Belfast this month. The two Chambers met to discuss the implications of Brexit for both economies. Over a dozen business leaders from both sides of the border were joined at the private meeting by the Taoiseach.

 

Dublin Chamber CEO Mary Rose Burke said: “Regardless of Brexit, the business communities North and South of the border are fully committed to closer economic cooperation across the island of Ireland, and to furthering the high level of integration that already exists. The free movement of goods across the border has been part of the economic architecture of this island for generations. Cross border trade has been on an upward trajectory for decades now, with total trade standing at €7 billion as of 2017. The business communities on both sides of the border will work hard to maintain this positive momentum in the face of the challenges ahead.”

 

“We and our business colleagues in Northern Ireland are at one on the importance of maintaining existing cross border trading arrangements. For over half (51%) of Irish exporters, Northern Ireland is the destination for more than 50% of their exports, and Northern Ireland accounts for over 10% of total Irish exports to the UK. Given that Northern Ireland makes up less than 3% of the UK population, this demonstrates how intertwined the two economies are. The North-South business relationship is one that we deeply value and must work to protect.”

Minister John Paul Phelan To Speak At Meet the Minister Series
 

Dublin Chamber is delighted to announce Minister John Paul Phelan as the next speaker in our Meet the Minister Series. Minister Phelan will share his perspective on the promised Citizens Assembly and possible role for a Directly Elected Mayor in Dublin, how this office could impact on Dublin, as well as upcoming reforms in Local Government and how they will impact on your business.


Dublin's Economic Profile
 

Want to know how the Dublin economy is performing? Check out the newly-revamped economic profile section on our website here.


Chamber Calls for Roll-Out of Dublin Bikes Scheme
 

Dublin Chamber is campaigning for the roll-out of the DublinBikes scheme across the Dublin City Council area. To fund the programme, the Chamber is calling on Councillors to consider a downward variation of 10% in Local Property Tax this year, rather than a 15% reduction. 


Dublin Chamber is campaigning for the roll-out of the DublinBikes scheme across the Dublin City Council area. To fund the programme, the Chamber is calling on Councillors to consider a downward variation of 10% in Local Property Tax this year, rather than a 15% reduction. In its upcoming submission on the 2020 Local Property Tax, Dublin Chamber will argue that commercial rates have been used as a balancing item in local authority budgets for too long, and that a more modest LPT reduction next year would allow Dublin City to achieve tangible improvements to sustainable transport and the public realm.


For the past five years Dublin City councillors have voted to implement a 15% reduction in the Local Property Tax rate. This has reduced the amount of money that is available to spend in the city, delaying a number of much-needed projects including DublinBikes expansion. Limiting the LPT reduction to 10% would generate an additional €4m in revenue per annum, allowing for the development of 43 new stations across the city and the provision of an additional 290 bikes in 2020. Analysis carried out by Dublin Chamber, based on the cost of the most recent DublinBikes development in Grangegorman, indicates that additional €20m in revenue would be generated over the 5 year period, which would provide 214 new stations and an additional 1,430 bikes, effectively tripling the number of stations around the city from 116 currently to 330.

 

Speaking earlier this month, Dublin Chamber CEO Mary Rose Burke said: "DublinBikes is one of the most successful bike sharing schemes in the world. Given its huge success, it is disappointing that its continued expansion has been so slow. There are still far too many areas within an easily cyclable distance of the city centre where there is no access to DublinBikes. A complaint we hear regularly from businesses and residents in Dublin is that they do not know where their property taxes and commercial rates are spent. Ring-fencing LPT money for DublinBikes would provide the people of Dublin with a tangible way of seeing where their money is being spent - and in a way that will greatly benefit their lives.

Have You Logged Into Our Website?
 

You must activate your new login to book Chamber Events. We have launched a new Member Area for you to register for all Chamber events and to update your profile. In order to activate your profile, if you have not already done so, please contact: membership@dublinchamber.ie 


Chamber News Roundup

Sponsor an Event Tailored to Your Service Offering

Looking to increase your brand awareness and engage with new and existing clients? We have exciting sponsorship opportunities available for an event tailored to your specific service offering. For more information contact ciara@dublinchamber.ie.

 

Share Your Company News With Us

Dublin Chamber can help share your company’s news and achievements via our suite of profiling opportunities including: Business Ireland Magazine, Irish Daily Mirror, Dublin City FM and our @DubChamNews Twitter account. Find out more here

 

Looking to Internationalise Your Business?

Dublin Chamber provides information and support to companies looking to maximise their success overseas. For further information on International Trade Services, please contact: international@dublinchamber.ie.

 

Need a Room for Your Next Meeting?

Looking for room hire in the city centre? We have some great room rates available for members here at 7 Clare St. Take a look at our room rates here. For further information contact ruthe@dublinchamber.ie.

 

Looking to Export?

Dublin Chamber's Export & Consular department, based here at 7 Clare Street, are experts when it comes to helping companies ship goods abroad easily, to register products in export markets and to visit export customers. Read on to learn more about the service and the special member discounts available. Contact richard@dublinchamber.ie for more details.


Member News | Member Events

Member News

Member Events