Pearse Trust Blog

This blog post takes a look at a number of recent developments in the European tax environment. 

This is a guest post written by Ruth Skehan of Fitzwilliam Tax Consultants

A Power of Attorney is a document which allows a Company to legally empower another person, or a group of persons, to act on behalf of the Company.

Commencing from 1 April 2013, the UK will introduce a 'Patent Box' regime, which will allow UK Companies to apply a reduced tax rate on relevant IP income (see below) generated from certain patents.

The role of directors throughout all facets of business is currently under intense scrutiny. Now, more than ever, investors and the general public demand professionalism, skill and integrity from business leaders; making it essential for directors to fully understand the responsibilities of their role.

In accordance with the Overseas Companies Regulations 2009 (the ‘Regulations’), a foreign company with a UK ‘establishment’ must register with Companies House. For the purposes of these Regulations, a UK ‘establishment’ is any branch (within the meaning of the Eleventh Company Law Directive) or any place of business of an overseas Company which is located within the UK.

In March last, the Central Bank of Ireland published its ‘Review of the Regulatory Regime for the Safeguarding of Client Assets’, declaring its plans to strengthen the protection of client assets held by investment firms.

As part of a measure to develop and promote Irish exports to the BRICS countries, (i.e. Brazil, Russia, India, China and South Africa), the Finance Act 2012 has reintroduced, in a more limited form, an income tax relief called the Foreign Earnings Deduction (FED). The FED will apply to Irish tax resident individuals working in the BRICS countries for the tax years 2012, 2013 and 2014. The relief operates by granting a tax deduction against the individual’s income tax liability where certain conditions are met. The maximum deduction allowed on an annual basis is €35,000.

When two or more individuals come together to form a business partnership, for example a Limited Partnership or Limited Liability Partnership, it is advisable to have a correctly drafted Partnership Agreement carefully detailing the terms of the business relationship.