Dáil Éireann Debate, Tuesday - 4 October 2022
235. Deputy Ged Nash asked the Minister for Finance the estimated projected cost of the Special Assignee Relief Programme in 2023; the reason that no cost has been attributed to extending the Programme in Budget 2023 documentation; and if he will make a statement on the matter. [48531/22]
View answerThe Special Assignee Relief Programme (SARP) is an income tax incentive designed to help reduce the cost to employers of assigning skilled individuals in their companies from abroad, to take up positions in the Irish-based operations of their employer or an associated company, thereby facilitating the creation of jobs and the development and expansion of businesses in Ireland.
The following table sets out the Exchequer cost of SARP in each of the years from 2012 to 2020 (the most recent year for which data are available):
|
Year |
€m |
|
2012 |
0.1 |
|
2013 |
1.9 |
|
2014 |
5.9 |
|
2015 |
9.5 |
|
2016 |
18.1 |
|
2017 |
28.1 |
|
2018 |
42.4 |
|
2019 |
38.2 |
|
2020 |
36.6 |
The cost of SARP is accounted for in the tax base. As such, it is appropriate to indicate a nil cost against the extension of the measure as per the Tax Policy Change booklet for Budget 2023.
As regards the increase in the threshold income to avail of SARP from €75,000 to €100,000 for new entrants, my Department considers that, over time, all other things being equal, the eventual yield from this change could be of the order of €5 million. However, it is likely to be some years before such savings might materialise.
