2013 Irish Budget
5th December 2012

Summary Budget Measures

Personal Tax
  • Weekly PRSI allowance removed
  • Minimum self-employed PRSI contribution increased
  • Standard rate USC on earnings over €60k for over 70s and medical card holders
  • Tax relief on charitable donations simplified
  • Film tax relief extended to 2020 with significant changes from 2016
  • DIRT (Deposit Interest tax) rates increased
  • Maternity benefit taxable from 1 July 2013


  • No changes in 2013
  • Pre-retirement access to AVCs to be allowed and taxed at marginal rate
  • Provisions for maximum allowable pension funding of €60k p.a. to be introduced from 2014

 Business Tax

  • No change to 12.5% corporation tax rate
  • R&D tax credit regime enhanced
  • 3 year relief for start-up companies extended
  • Extension of the foreign earnings deduction (to African countries)
  • Real Estate Investment Trusts (REITs) introduced
  • Employer’s redundancy rebate abolished


  • Cash accounting threshold increased to €1.25m

 Capital Gains Tax

  • Rate increase to 33%

 Capital Acquisitions Tax

  • Rate increase to 33%
  • Tax-free thresholds reduced by 10%

 Property Tax

  • Local property tax introduced (0.18% x property values up to €1million)
  • Household charge and NPPR charge to cease

 Other Taxes