Updated guidance on the R&D Corporation Tax Credit

Revenue has updated the Tax and Duty Manual regarding the Research and Development (R&D) Corporation Tax Credit to incorporate the changes to the R&D credit introduced by Finance (No.2) Act 2023. These changes apply in respect of accounting periods commencing on or after 1 January 2024. 

Key changes introduced to Part 29 by Finance (No. 2) Act 2023 include: 

• Increase in the rate of the R&D credit to 30% 
• Increase in the first instalment threshold from €25,000 to €30,000 
• The introduction of a pre-filing notification requirement 

The manual is also updated to revise references to the use of the R&D Specified Return 2022, as it is no longer required to submit a specified return for claims going forward.