Green tax incentives for Irish businesses extended
Energy Minister Eamon Ryan today announced the extension of the Accelerated Capital Allowance Scheme. The Scheme, detailed in the Finance Bill, allows companies to buy energy efficient equipment and write off its full cost against corporation tax in the year of purchase.
Energy Minister Eamon Ryan today announced the extension of the Accelerated Capital Allowance scheme. The scheme, detailed in the Finance Bill, allows companies to buy energy efficient equipment and write off the full cost against corporation tax in the year of purchase.
Introduced in 2008, the scheme has been expanded this year to include up to forty different technologies. All Irish business can receive tax relief on equipment such as refrigeration and cooling systems, catering and hospitality equipment, electro-mechanical systems, IT software and hardware, lighting, and electric vehicles. Other categories of equipment such as certain wind turbines and solar photovoltaic technology are also eligible.
“Despite recent reductions in prices,” said Minister Ryan,” energy remains a significant element of business overheads. Every day, companies are asking how they can be more efficient in the way they use and manage their energy. With this level of interest and dedication on the part of businesspeople, it is right that we assist them in making the switch.”
He added: “The aim of this scheme is to help Irish businesses of all sizes, not only to reduce their energy use, but crucially to save money. It’s working well and I encourage all businesses to get involved."
Three new categories of technology were added to the ACA scheme in Budget 2010 - refrigeration and cooling systems, electro-mechanical systems and catering and hospitality equipment. In addition to the new categories, the existing information and communications technology category has been amended to include software designed to achieve high levels of energy efficiency. This includes virtualisation software that allows a business to reduce both the number of servers it requires and related cooling equipment.
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