Budget will help SMEs and R&D, says Killeen
Budget 2007 will give a welcome boost to the small business sector and encourage greater investment in Research and Development, according to Minister for Labour Affairs Tony Killeen.
“Budget 2007 is one that puts in place the essential strategies that will ensure Ireland's competitiveness going forward,” said Mr Killeen.
“With over 250,000 small business employing 800,000 people, the Government recognises the important role these companies play in our economy. At a cost of €25m in a full year, the extension and enhancement of both the Business Expansion Scheme and the Seed Capital Scheme is a welcome step.
“These schemes are a vital source of seed capital, which is the lifeblood of start-up companies.
Minister Killeen also welcomed the changes in VAT registration threshold and corporation tax liability adding that these changes will reduce the administrative and regulatory burden on the sector.
“This Government also recognises the importance of R&D and I believe that the enhancement of the R&D tax credit, estimated at €70m a full year, will further incentivise Irish companies to engage in R&D and encourage foreign direct investors to consider Ireland as a good location for their R&D activities,” he said.
