Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
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Question 48: To ask the Minister for Finance the moneys to date paid to companies who under the Finance Act 2009 availed of tax relief for research and development here but who had not paid enough tax to avail of the full amount and who claimed the difference as a payment from the Exchequer. [38918/11]

Michael Noonan (Limerick City, Fine Gael)
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The Finance (No. 2) Act 2008 included amendments to Sections 766 and 766A Taxes Consolidation Act (TCA) 1997 to provide for companies to claim the research and development tax credit as a payable credit where there is insufficient Corporation Tax in the year of claim and the preceding accounting period to absorb the full credit. This change applies to accounting periods commencing on or after 1st January 2009. The credit is paid in 3 instalments over 33 months from the end of the accounting period. Amounts paid out by Revenue in respect of claims made on 2009 corporation tax returns, which is the latest year for which figures are available, are as follows:

Section 766 TCA 1997 – €31.3m in respect of 362 claimant companies

Section 766A TCA 1997 - €1.2m in respect of 23 claimant companies

These amounts represent first instalment payments, which is a third of the amount ultimately payable. The balance, if not absorbed by corporation tax liabilities for 2010 and 2011, is payable within 24 months of the time for payment of the first instalment.

Statistics for 2010 payable credit claims will not be available until mid-2012.