Niall Collins (Limerick County, Fianna Fail)
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118. To ask the Minister for Finance the number of companies availing of the research and development tax credit in each of the years 2011 to 2016 and to date in 2017, by firm size, in tabular form. [45327/17]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Research and Development (R&D) Tax Credit is a very important feature of the Irish Corporation Tax system. The central purpose of the R&D tax credit is to encourage companies to undertake high-value added R&D activity in Ireland, thereby supporting jobs and investment here. A review of the R&D Tax Credit was undertaken by my Department prior to Budget 2016. The review concluded that the tax credit provides a reasonable level of additionality and that the rationale for the tax credit is not in question. Firms clearly respond to it by increasing their R&D expenditure.

I am advised by Revenue that information in respect of the annual tax cost of the research and development tax credit for years up to 2015, the latest year available, is at the following link

www.revenue.ie/en/corporate/documents/statistics/tax-expenditures/costs-tax-expenditures.pdf.

I am advised by the Revenue Commissioners that the information requested by the Deputy is available up to 2015. The information requested in terms of companies availing of the scheme, and of firm size is as shown in the following table. The number of companies shown below availing of the credit includes companies offsetting their credit against their in-year profits and those with refundable tax credits in the year.

Small companies are defined as those employing fewer than 50 people. Medium companies are defined as employing at least 50 people and fewer than 250 people. Large companies are defined as those employing 250 people or more.