Cooney Carey is one of Ireland's leading tax planning providers. Our considerable taxation experience has given us extensive knowledge and understanding of tax law and practice. Our specialists use this in-depth expertise in effective taxation planning for our clients, which include large companies, SMEs, family businesses, entrepreneurs and private individuals. We also work with trusts and partnerships.
Our taxation planning team is led by John Comerford and Gerry Higgins. We offer taxation planning sevices in a wide range of areas, including business taxation; compliance; customs; foreign direct investment; human resources tax services; international tax structures, personal tax; research and development tax relief; transactions; transfer pricing and VAT.
Business Structure (Taxation Focus)
Marginal tax rates can be as much as 55% for individuals, compared with 12.5% for trading companies (or 0% for certain start-ups). It is definitely worthwhile identifying the right legal and tax structure for your business.
We work with our clients to understand their commercial, personal, financial and regulatory constraints and objectives. We recommend a business and legal structure to them that is both appropriate and tax-efficient.
Corporate Reorganisation and Restructuring
We advise our clients on tax-related changes that are needed during restructuring, whether an individual company or a more complex group of companies is involved. These can include:
- amending the capital structure
- using a holding company
- transferring shares, assets or complete businesses to one or more other companies
- issuing shares as required Our goal is to help the client avoid paying tax unnecessarily while streamlining their corporate structure.
Residence and Domicile
We help clients whose tax position involves at least two jurisdictions (one of which is generally Ireland). These include nationals of one country who work and are taxed in another, or companies based in one country opening a subsidiary in another and trading there. We advise them on their Irish tax obligations and help them to work out their foreign tax obligations, while minimising their overall tax burden. The areas we advise on include:
- residence and ordinary residence
- taxation of Irish income and gains
- taxation of foreign income and gains
- appropriate structures in which to hold Irish and foreign assets
- reliefs for foreign earnings deductions (FED)
- the Special Assignee Relief Program (SARP)
If you lose your job or you stop being a director, particularly because of ill health, you may be entitled to significant tax-free payments from your company. We work with our clients to review the potential for such payments, to calculate the best outcome and to get tax approval if needed.
Employment and Investment Incentive Scheme (EIIS)
The EIIS, which replaced the Business Expansion Scheme (BES) in 2011, allows most trading companies to raise funds and allows individuals to get tax relief of up to 41% on their investment in the company. Companies may raise up to €10 million under the scheme, while individuals may invest up to €150,000.
We work with client companies to establish the appropriate level of funding and the best structure to facilitate raising funds from individual investors. We also help to manage the relationship with investors during the investment term and identify a clear exit structure at the end of that term.
Capital Acquisitions Tax(CAT)
The CAT rate has risen in recent years from 20% to 33%, while tax-free thresholds and reliefs have reduced significantly. These changes mean this is becoming a more important and widely applicable tax.
We advise our clients on drafting wills, the use of trusts, asset protection, gifts, wealth transfers to the next generation, and tax reliefs including business relief, dwelling house relief and agricultural relief.
Capital allowances may be available for machinery and plant, industrial buildings or mechanical and electrical building installations. We review our clients’ spending in these areas to make sure they are availing of the maximum capital allowance benefits.
Following the introduction of transfer pricing legislation in Ireland, some large companies are now subject to transfer pricing. Transfer pricing rules provide that certain transactions between associated persons (such as a parent company and a subsidiary) should be conducted on an arm’s length basis and be priced as similar transactions would be between people or companies with no association.
We review our clients’ transfer pricing obligations, help to price connected party transactions for goods and services, and put in place the necessary documentation. We also advise on the international aspects of transfer pricing.