R&D Tax Credit Ireland
This credit allows you to receive up to 30% of your R&D expenditure (both revenue and capital) as a tax credit or in cash, provided certain conditions are met. Additionally, this credit complements the 12.5% corporation tax deduction at the standard rate.
Software development
Engineering
Food and beverage production
Medical devices
Pharmaceuticals
Oil and gas
Aerospace
Agriculture and agri-food.
✅ However, many companies benefiting from R&D tax credits have eligible expenses rooted in innovation within their operations.
✅ Expenses aimed at enhancing products or services, even if projects don’t yield expected outcomes, may qualify.
✅ Any company in any industry, undertaking innovative projects in Ireland, may be eligible for R&D Tax Credits.
The key is engaging in development activities seeking advancements in science or technology, such as creating new products, processes, or services, or modifying existing ones.
Qualifying expenditures for the R&D tax credit encompass a range of eligible costs, such as:
→ employee wages
→ third-party contractor expenses (particularly those contractors engaged in R&D within the European Economic Area and the UK)
→ material costs
→ machinery and equipment investments, as well as overhead expenses.
This valuable tax credit can be claimed based on the eligible expenditure incurred during the fiscal accounting year in connection with your research and development endeavours.
Preparing an R&D tax credit claim entails identifying and documenting eligible R&D activities and associated expenditures, while adhering to legislative and Revenue Guidance requirements. ABGI Ireland is a leading R&D Tax Credit Consultancy that has built an unrivalled reputation on Trust.
Our team possesses the necessary tax, financial, and scientific expertise to assist companies of all sizes and sectors in preparing their claims.
Utilising proven methodologies, direct Revenue experience and unique processes, we ensure your claim is comprehensive, accurate, and will withstand any Revenue scrutiny.
The stages of preparing an R&D tax credit claim include:
✔ Feasibility study through in-depth project scrutiny
✔ Detailed claim preparation using our best in class Technical and Financial reports
✔ Submission to Revenue
✔ And audit preparation/support.
For instance, if your year end is December ’25, you should aim to submit your claim by December 31, 2025, for activities carried out during Fy24 .
To maximise your benefits, ABGI advises that claims are submitted with the CT1 as best practice. Whilst there is no penalty to amend and claim up to the hard deadline, we encourage companies to prepare their claim in real time.
What qualifies as R&D under Revenue guidelines
Which costs you can include in a compliant claim
How the 30% credit works in practice, including repayments and cashflow options
What the new Pre-Filing Notification means for your business