The Finance Act 2023 (No. 11) implements the taxation measures outlined in Ireland’s Budget 2024, focusing primarily on alleviating cost-of-living pressures while ensuring fiscal stability and adherence to international tax obligations. Key provisions include an increase in the standard rate income tax band, an uplift in core tax credits, and adjustments to the Universal Social Charge (USC) thresholds to align with minimum wage increases, benefitting lower and middle-income earners. The Act also enhances the Rent Tax Credit, widens eligibility for the Home Carer Credit, and introduces temporary mortgage interest relief for homeowners affected by rising interest rates.

For businesses, the Act enacts components of the OECD Pillar Two global minimum tax, imposing a 15% effective tax rate on large multinationals with revenues exceeding €750 million. Other measures include an elevated Research and Development (R&D) Tax Credit of 30% and reforms to simplify application procedures. Additional indirect tax measures encompass extended VAT relief on energy, adjustments to stamp duty, and a strengthened Vacant Homes Tax aimed at improving housing availability. Overall, the Finance Act 2023 modernises the tax system, reinforces international tax standards, and aims to maintain Ireland’s competitive economic environment.