Why invest in Ireland?At a glance

#1 in EU #6 globally

for the ease in which a business can pay

its taxes

13/15 world’s top Med Tech

companies

9/10 world’s top pharma,

software and US ICTcompanies

12.5%corporation

tax

Home to over

1,200 overseas

companies

15 of the world’s top

Financial Services companies

OECD and EU

compliant

#1 in EU for inward

investment jobs per capita

25% R&D tax

credit

Youngest population in EU

40% of population

under 30

Open, stable,

transparent tax regime

A dynamic, knowledge-based economy

Ireland represents a strategic European base due to our pro-business, low corporate tax and skilled workforce. As a result, more than 1,200 multinational companies have chosen Ireland as their investment platform.

Ireland’s reputation as a destination of choice for Foreign Direct Investment (FDI) is unrivalled and has been reinforced by Forbes who have consistently identified Ireland as one of the best countries in the world to do business.

Grant Thornton has prepared this guide to set out the advantages of Ireland as an investment platform. With Irish desks on both the East and West coast of the US, together with our eight offices in Ireland, we help companies grow on both sides of the Atlantic.

Edel CarterDirector – U.S. Irish Business GroupSan Francisco

Dara KellyDirector - U.S. Irish Business GroupNew York

Corporate tax regime

A base for global expansionIreland offers a flexible and competitive regime to companies who are looking to structure global operations. Countless international groups use Irish holding companies to hold other subsidiaries and conduct M&A.

Some of the key features which attract this activity are: • generally no tax on disposal of trading subsidiaries;• no exit charges for US multinationals;• an effective exemption from Irish tax on foreign dividends;• extensive treaty network and generous withholding tax exemptions;• availability of pooling provisions for foreign branch tax;• no controlled foreign corporation rules;• ability to fully leverage; and• Irish transfer pricing rules apply to pure holding companies.

Key aspects of corporation tax regime for operations

Corporation tax rate

• 12.5% corporate tax rate applies to companies actively trading in Ireland including financing activities and the management of Intellectual Property (IP).

Knowledge Development Box (KDB)

• 6.25% tax rate available on profits directly attributable to development activities carried out by an Irish company; and

• first OECD compliant preferential tax regime.

Tax depreciation for IP

• tax deduction in line with amortisation for the capital cost of acquiring and internally developed specified intangible assets (including brand names, patents, trademarks, registered designs, copyrights, software, know-how, customer lists, etc.).

R&D • a 37.5% total subsidy for a trading entity (i.e. 12.5% corporate tax deduction and a 25% R&D tax credit) is available where a company incurs qualifying expenditures on R&D activities; and

• cash tax credit available - even where a company is not generating profits.

There are many tax benefits for companies investing in Ireland, either with fully fledged trading operations or with global holding company structures. A low rate of corporation tax rate of 12.5%, 6.25% rate for profits on IP developed in Ireland, our 25% R&D tax credit, tax depreciation on acquired or capitalised IP and competitive holding company regime combine to offer an unrivalled location of choice for inward investment.

FDI in Ireland

Facebook announces €200m

data centre bringing its Irish workforce

to almost 1,000 people.

Uber opens its Centre of Excellence in

Limerick which will support its global

operations.

LinkedIn surpasses 1,000 jobs in Ireland.

First Data to establish R&D hub in

Ireland.

Oracle announces

additional 450 staff building on its existing Irish

operations.

Pfizerannounced 130

jobs across three manufacturing sites

in Ireland.

Apple announced

that it will be expanding its campus for

1,000 additional employees by 2017.

Workday announced the opening

of its new European HQ in Ireland office in Dublin, as

well as plans to create another 200 highly-skilled jobs for

the city over the next three years.

Equifax announced the opening of a new IT talent centre

in Dublin to help address the company’s growing global IT

needs with over 100 R&D positions available.

Microsoft expands its data

centre having invested €134 million and creating 150 jobs.

Paypalannounced 100 new

jobs at its Global Operations Centre

for Europe inDublin.

Working in Ireland Hiring and working in Ireland

• number 12 in the Economist Intelligence Unit’s ‘where-to-be-born’ index – ahead of France, Germany and the UK;

• according to the last census, over 17% of Ireland’s population is international and over half a million Irish residents speak a foreign language fluently;

• Dublin voted Lonely Planet’s top cities to visit for 2016;• offering easy transit to the US with the ability to pre-clear US customs and immigration at the point of

departure to the US; and• direct flight connections between Ireland to all parts of the US.

Visa and permits

For non-EEA nationals, and depending on personal circumstances, entry visas and employment permits may be required. These include: • Start-Up Entrepreneur Programme;• employment permits; and• investor programme.

For up-to-date information on work permits and how to apply see: www.djei.ie/labour/workpermitsA valuable resource for those considering moving to Ireland or hiring staff in Ireland visit: www.worldoftalentinireland.com

Working and living in Ireland

#4 most motivated workforce in the world

#3 most productive workforce in the world

Access to EU labour force of approximately 250 million people

#1in world availability of senior management talent #1

in world in flexibility and adaptability of

workforce

Grant Thornton IrelandIreland is regarded as a key strategic location by the world’s leading players. Grant Thornton is a leading business advisor and one of the fastest growing firms in Ireland. The firm comprises over 800 people operating from offices in Dublin, Belfast, Cork, Galway, Kildare, Limerick and Longford. Our brand is respected globally, as one of the major global accounting organisations recognised by capital markets, regulators and international standards setting bodies.

At Grant Thornton we have a client base of dynamic, indigenous and international businesses across a varirety of industries. We are leading advisors in a number of industries in ireland such as Financial Services, Technology, Media and Entertainment, Construction and Consumer products.

As a member of Grant Thornton International, a $4.7bn global organisation of member firms with 40,000 people in over 135 countries, we have the scale to meet your changing needs, but with the insight and agility that helps you to stay one step ahead.

How Grant Thornton can help you

Contacts

Dara KellyDirector - U.S. Irish Business GroupNew York

T +1 212 542 9805E dara.kelly@us.gt.com @DKellyGT ie.linkedin.com/in/darakelly1

Offices in Dublin, Belfast, Cork, Galway, Kildare, Limerick and Longford.

@GrantThorntonIE

www.grantthornton.ie

Edel CarterDirector – U.S. Irish Business GroupSan Francisco

T +353 (0)87 1880 201E edel.carter@ie.gt.com @edelcarter www.linkedin.com/in/edelcarter

© 2016 Grant Thornton Ireland. All rights reserved. Authorised by Chartered Accountants Ireland (“CAI”) to carry on investment business. Grant Thornton is a member firm of Grant Thornton International Ltd. (GTIL).

This publication has been prepared only as a guide. No responsibility can be accepted by us for loss occasioned to any person acting or refraining from acting as a result of any material in this publication.