The Knowledge Development Box (KDB) applies for accounting periods commencing on or after 1 January 2016. A claimant company has a period of up to 24 months to make a claim for KDB relief.
I am informed by Revenue that a small number of companies (less than 10) with accounting periods ended on or before 31 December 2016 have claimed KDB relief to date. As indicated in Revenue’s recently published report on Corporation Tax (www.revenue.ie/en/corporate/documents/research/ct-analysis-2018.pdf), the tax cost of these claims to-date is in the region of €5 million. Due to taxpayer confidentiality, Revenue cannot comment further on the size or nature of the claimant companies to date.
Given the supporting documentation required, companies have a 24 month time frame available to avail of the KDB and it is anticipated that more companies will make use of this 24 month time frame. As such, KDB claims in respect of the year ended 31 December 2016 may be claimed for the year ended 31 December 2017. Therefore, further claims in respect of the year ended 31 December 2016 may be made up to end September 2018.