Cost of R&D tax credit claims soars to more than €700m

A review by the Department of Finance for last year’s budget called for restrictions on the measure

Fianna Fáil finance spokesman Michael McGrath

The cost of a tax credit for companies which have engaged in research and development has soared, with claims rising from €553 million in 2014 to €708 million in 2015.

Companies can recover 25 per cent of the cost of their R&D by offsetting it against their tax bills. But due to a change made by the Fianna Fáil government, companies are also allowed to get cash back for their R&D spending if ...