Budget 2023 Business Tax


No changes to Corporation Tax announced. An effective Corporation Tax rate of 15% will apply to companies with turnover of more than €750 million. For companies with turnover less than €750 million, the 12.5% rate of Corporation Tax remains.


  • A new Temporary Business Energy Support Scheme was announced to assist businesses with their energy cost over the winter months.
  • The scheme will be open to businesses that carry on a Case 1 trade, are tax compliant and have experienced a significant increase in their natural gas and electricity costs.
  • The scheme will operate on a self-assessment basis.
  • It is proposed that the scheme will operate by comparing the average unit price for the relevant bill period in 2022 with the average unit price in the corresponding reference period in 2021.
  • There has to be more than a 50% increase in the average unit price to qualify.
  • Once eligible the support will be calculated on the basis of 40% of the amount of the increase in the bill amount.
  • A monthly cap of €10,000 per trade will apply and an overall cap will apply to the total amount which a business can claim.
  • The scheme needs to be approved by the EU Commission in advance of making payments.
  • Knowledge Development Box is extended for a further four years.
  • Certain changes to be introduced in relation to payment provisions for R&D tax credit.
  • The Film Corporation Tax Credit is being extended to 31 December 2028.


  • The relief for pre-letting expenses for landlords previously capped at €5,000 per premises is now increased to €10,000 and by reducing the period which a premises must be vacant from 12 months to 6 months.
  • A Vacant Homes Tax is being introduced. The tax will apply to residential properties which are occupied for less than 30 days in a 12 month period. The tax will be charged at a rate equal to 3 times the property’s existing basic Local Property Tax rate. There will be certain exemptions for genuine reasons.
  • A 10% levy will be applied from 3 April 2023 on concrete blocks, pouring concrete and certain other concrete products.
  • The Living City initiative is extended to 31 December 2027.


The annual limit for non-cash benefits is being increased from €500 to €1000 and will also permit two vouchers to be granted by an employer in a single year to an employee.


There is a reduction in the excise fees for a special exemption application order from €110 to €55 for late night venues.

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