Cormac Devlin (Dún Laoghaire, Fianna Fail)
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291. To ask the Minister for Finance whether he will consider sector-specific reliefs or supports such as enhanced capital allowances or start-up tax credits for the fashion and design industry in Budget 2026; and if he will make a statement on the matter. [47911/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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There are currently no specific reliefs or supports in place for the fashion and design industry.

As a small open economy, connected to Europe, the US and the wider world, Ireland has been and is committed to a competitive, transparent and stable corporation tax system. The trading profits of companies in Ireland are generally taxed at the standard corporation tax rate of 12.5%, with larger corporate groups potentially in scope of the Pillar Two 15% Minimum Effective Tax Rate.

In addition to the 12.5% corporation tax rate, the Irish corporation tax system contains a number of measures designed to incentivise and support businesses in Ireland. These measures help businesses access investment, scale-up and expand, and include the Section 486C relief for certain start-up companies; the Employment Investment Incentive (EII); the Start-Up Relief for Entrepreneurs (SURE); the Start-Up Capital Investment (SCI); the Key Employee Engagement Programme (KEEP) and the Research and Development (R&D) Tax Credit.

With regard to enhanced capital allowances, the Deputy may be aware of the Accelerated Capital Allowance schemes for Energy Efficient Equipment and for Gas Vehicles and Refuelling Equipment which are in operation within the Irish tax system. Both schemes provide for a 100% up-front wear and tear allowance for qualifying expenditure incurred in a given year. This provides a cash flow benefit to the taxpayer, as the allowances would normally be available over eight years at 12.5% per annum in the absence of either scheme.

There is also a wide range of non-tax government supports available to companies to assist companies at different stages of their growth. However, it should be noted that where any support measure is targeted at a specific industry or sector (such as the fashion or design industry), State aid implications need to be considered.

Any decisions regarding taxation measures are made in the context of the annual Budget and Finance Bill processes, at the appropriate time, and having regard to the sound management of the public finances.