Dáil Éireann Debate, Tuesday - 16 May 2017
598. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation if she is satisfied the full benefits from the knowledge development box remain available to the economy; and if she will make a statement on the matter. [23288/17]
View answerI am satisfied that the full benefits from the Knowledge Development Box (KDB) will remain available to the Irish economy. The KDB, introduced in Budget 2016 forms part of Ireland’s competitive offering to continue to attract foreign direct investment (FDI) and to support Irish owned companies to innovate and to compete effectively on international markets.
Ireland is the first country world-wide to introduce an OECD compliant Knowledge Development Box (KDB) offering. The certainty, predictability and clear signal that this sends to enterprise - including both Irish owned and foreign owned entities establishing and doing business from here - remains essential. This certainty has become even more important in the current dynamic and uncertain geopolitical landscape.
With successful enactment of the KDB (Certification of Inventions) Act 2017, subject to commencement order in the coming weeks, it will benefit companies of all sizes.
The KDB (Certification of Inventions) Act 2017 which applies to certain small and medium sized companies facilitates their ability to avail of it without the need for public disclosure of their innovative concept. The Act is intended to open up the opportunity for companies across a broad spectrum including companies in incubation units right through to high-potential start-ups in all industry sectors once they are generating income resulting from research and development activities. The scheme should serve to significantly boost innovation and investment in research and development in Ireland and to generate economic benefit and jobs.
The KDB complements the existing suite of initiatives and supports available to companies that undertake R&D activities in Ireland across the lifecycle of research and development - including R&D tax credits, RD&I grant supports, support for technology acquisition (S291A), significant state investments in National Research Centres and knowledge transfer infrastructures, and advisory supports for accessing Horizon 2020 funding - providing a competitive proposition for business investment.
