Minister Donohoe launches public consultation on review of stamp duty charge on share transactions
Foilsithe
An t-eolas is déanaí
Teanga: Níl leagan Gaeilge den mhír seo ar fáil.
Foilsithe
An t-eolas is déanaí
Teanga: Níl leagan Gaeilge den mhír seo ar fáil.
Minister for Finance and Public Expenditure and Reform, Paschal Donohoe TD, today (Friday) launched a public consultation on stamp duty regime that applies to share transactions in Irish incorporated companies.
The “Getting Ireland Brexit Ready” document, published in conjunction with Budget 2017, committed to conduct such a review of the application of stamp duty on share transactions. The objective of this consultation is to examine the rationale for retaining Stamp Duty on share transactions in its current form in the context of a changing financial and economic environment and in the context of the sustainability of the stamp duty yield and the future relationship between the EU and the UK.
The consultation invites interested parties to make submissions regarding:
Commenting on the review Minister Donohoe said:
"This consultation provides an opportunity for interested parties to input their views to my Department’s review of the stamp duty regime that applies to share transactions in Ireland. This is another element of our on-going examination of the changing financial and economic environment in the context of Brexit."
Interested parties are invited to make submissions on the matter via email: StampDutyConsultation@finance.gov.ie .
The consultation period will run to 5pm on 31 October 2017.
Any submissions received after this date may not be considered.
ENDS
Stamp duty is generally a tax on documents or instruments. To be liable, an instrument must be listed in Schedule 1 to the Stamp Duties Consolidation Act 1999. It must also be executed in Ireland or, if executed outside Ireland, it must relate to property situated within Ireland or something done or to be done in Ireland. Some instruments may benefit from an exemption or relief.
Stamp duty chargeable in Ireland falls into two main categories:
The objective of this consultation is to review the rationale for retaining stamp duty on share transactions in its current form in the context of a changing financial and economic environment. Any such move would be to encourage the development of businesses listed on the Main Securities Market of the Irish Stock Exchange. In approaching this question, it is of course important to conduct an assessment of the potential impact such a change may have on the Irish economy.
The table below shows the receipts from stamp duty on shares in the years 2007 – 2016. The annual receipts ranged from €609 million in 2007 to €392 million in 2016, which were 19% and 33% of the respective total stamp duty receipts for those years.
Year | Total Stamp Duty Receipts | Stamp Duty on Shares | % of Total SD Receipts from Share Transactions |
2007 | €3224m | €609m | 19% |
2008 | €1763m | €419m | 24% |
2009 | €1003m | €208m | 21% |
2010 | €962m | €182m | 19% |
2011 | €1383m | €195m | 14% |
2012 | €1426m | €171m | 12% |
2013 | €1333m | €251m | 19% |
2014 | €1680m | €282m | 17% |
2015 | €1276m | €424m | 33% |
2016 | €1196m | €392m | 33% |