Dáil Éireann Debate, Wednesday - 6 July 2016
90. Deputy Niall Collins asked the Minister for Finance the cost of increasing the €150,000 annual investment limit for persons to €200,000, €250,000 and €500,000; under the employment and investment incentive scheme; and if he will make a statement on the matter. [20002/16]
View answerThe annual investment limit per individual for the Employment and Investment Incentive is €150,000. This limit was increased from €31,750 in Finance Act 2007, when the Incentive was known as the Business Expansion scheme.
The Deputy may be aware that all of the relief available under the EII was removed from the scope of the High Earners Restriction for a period of three years beginning in 2014. This change was made to encourage greater investments in SMEs, as the High Earners' Restriction effectively limits the amount of specified tax relief that can be claimed in a single tax year to €80,000 or 20% of an individual's adjusted income, whichever is greater.
The cost of increasing the annual investment limit to €200,000, €250,000 and €500,000 would depend on future investments that might exceed the existing annual investment level. I am informed by the Revenue Commissioners that there is no information available from returns filed which could assist with the prediction of potential increases in investments and thus the potential consequential costs to the Exchequer.
