Tech heavyweights such as Amazon, Google and Microsoft are cautioning that Ireland’s inability to tackle limitations within its electricity grid may deter substantial investments, according to the Business Post. The companies express notable apprehensions relating to Ireland’s capabilities to cater to future data centre expansion, due to continuous restrictions on large business connection requests.
Cloud Infrastructure Ireland, an industry association that represents the three companies, expressed dissatisfaction with certain elements of a proposed policy determining data centre grid connections. It contested that attempts by the Commission for Regulation of Utilities to limit data centres could deter potential investments and stunt business growth in parts of Ireland.
Separate reports in the Sunday Times state that, in line with updated guidelines from the Revenue, companies enlisted in the debt warehousing scheme will be compelled to fully account for their pandemic-related liabilities unless they resolve any outstanding taxes before 1st May. The guidelines go onto say that those with unpaid tax bills, penalties or unfiled returns will have their applications for phased payments rejected. This impacts companies that yet have to negotiate a long-term payment plan with Revenue, giving them less than three weeks to sort their tax duties or face immediate plus retrospective interest payments.
Meanwhile, Sunday Independent reports suggest that the majority of the €605 million ($645 million) in grants and tax benefits received by the tech colossus, Intel, outside the US, were predominantly funded by the Irish taxpayers. The indications are such that Intel could stand to gain at least $322.5 million in grants and repayable tax incentives from Ireland, associated with the vast expansion of its silicon wafer manufacturing unit in Leixlip, Co Kildare. This investment, valued at $17 billion, ranks among the largest ever made in Ireland.
Intel’s spokesperson voiced that initiatives like research and development tax incentives and grants yield a ‘competitive advantage’ for firms undertaking high-tech operations in Ireland.
On a separate note, highly placed sources within the coalition have confirmed to the Business Post that the threshold for the highest tax rate will likely be elevated to a minimum of €44,000 in the government’s concluding budget.
According to recent news articles, there will be significant tax modifications made in the forthcoming budget. This includes alterations constructed to benefit those who earn lower to middle incomes. Attention will also be devoted to the reduction of the Universal Social Charge and the enhancement of energy credits. Furthermore, a rise in the pension for elders is anticipated.
Senior representatives from the Coalition indicate that there are plans to escalate the entry point to the upper 40% tax bracket from €42,000 to at least €44,000. This change would succeed the adjustment made in the 2024 Budget where the point of entry for this tax category was hiked from €40,000 to €42,000.
Separately, the developer behind the Clerys Quarter reconstruction on O’Connell Street aims to refinance external debt on this emblematic project by September, says a report by The Sunday Times. The documents released by OCES Property Holdings declare that the potential options concerning refinancing are currently under scrutiny. A creditor named Greenoak, who was due for repayment the previous September, is still owed €34.6 million.
The work on the previous department site will persist with the support of equity supplied by its owner, a fund that is under the management of Europa, a property investment manager.