Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

I know the higher rate for research and development for small, medium and microenterprises is out of the Minister's hands. I would like some detail about how onerous it would be to apply a rate. It appears that the Minister has suggested that it can happen but that it would be a significant burden on both Revenue and the company. If it is not possible then it is not possible, but we should continue to look at how we can support more research and development, which is important. The Minister said he is willing to look at the other suggestion that I put forward, which comes from the engagement that we are having with business. It is good to see that nearly 70% are able to use that in year 1, but the other 30% are not. We are told that it is a disincentive in the first place, so it is not just about the 31%. I ask the Minister to look at this as part of the Tax Strategy Group papers in the summer, to see if this needs enhancement with regard to how it is paid out to small and medium enterprises. Our suggestion is that it would be paid out in one instalment in one year as opposed to three instalments over 33 months for those that do not have a tax liability.