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Ireland: Direct and indirect tax measures in 2026 budget

The Minister for Finance introduced the 2026 budget on October 7, 2025.

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October 8, 2025

The Minister for Finance introduced the 2026 budget on October 7, 2025, which includes the following tax measures:

  • Enhancements to the research and development (R&D) regime:
    • An increase in the credit available from 30% to 35%
    • An increase in the first-year payment threshold to €87,500
    • An administrative simplification measure on the level of inclusion of employee costs
  • A suite of housing measures to include:
    • An enhanced corporation tax deduction
    • A Living City Initiative
    • A new derelict property tax (DPT)
    • An extension of the stamp duty refund scheme
    • An extension of income tax relief for retrofitting by landlords
    • A new corporation tax exemption
  • Tax simplification

Read an October 2025 report prepared by the KPMG member firm in Ireland, which covers:

  • Income tax and capital gains tax
  • Business taxation
  • Property
  • Indirect tax

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