The international tax landscape has been altered substantially by changes introduced through the OECD BEPS Pillar Two, which will lead to many companies’ falling within a new minimum effective corporation tax rate of 15%. Therefore, the significance of Ireland’s 12.5% corporation tax rate, which has been one of the pillars in Ireland’s offering as a location for foreign direct investment, may be reduced for many multinational companies. What this will mean is that the R&D incentives that Ireland offers will take on more significance and will play a greater role in attracting R&D investment from the world’s largest companies in the future.
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