The Leading Edge - Spring 2008 - (Page 13)

expatriates working there do not pay tax on employment income. Unfortunately Ireland has changed the rules in recent years. Previously, it was possible under the remittance basis for a seconded employee not to pay any tax in Ireland if the person was paid overseas from a non-resident employer (provided he did not remit his salary into Ireland). Under current law, to the extent that the employment relates to duties carried out in Ireland, there is a requirement to pay tax there and in most cases, for the non-resident employer to operate payroll withholding. 5 6 7 all work and no play. Ireland offers the best of both worlds in terms of quality of life alongside excellent employment opportunities. When you combine the advantages of the country’s advanced European economy and infrastructure, a well-educated English-speaking workforce, reduced commuting time, increased leisure time, affordable cost of living, friendly people, and natural beauty of the country, it all adds up to a very compelling offering in terms of work-life balance. exchange controls are tight. There are actually no restrictions on the repatriation of earnings, capital, royalties or interest, and repatriation payments can be made in any currency. Similarly, there are no restrictions on the import of capital to Ireland. Residents and non-residents can operate bank accounts in any currency and Irish businesses are free to open bank accounts in any location outside Ireland. Inward investors must, of course, have regard to exchange control regulations in their home countries. 9 ireland is predominantly a farming island. In the pharmaceuticals area, 13 of the world’s top 15 companies now manufacture in Ireland and 80 health care companies, including 15 of the world’s top 25 medical technology companies, have also located in Ireland. The information and communications technology sector has shown remarkable growth in recent years and more than 300 of the world’s leading electronic companies have a base in Ireland. Government promotion agencies have targeted the following industries: • Chemicals and pharmaceuticals / biopharmaceuticals • E-commerce • Information and communications technology • Software • Internationally traded services, including financial services, call centres andshared services centres and • Medical devices. ireland is behind the times. Again, this is another misconception and couldn’t be farther from the truth. Ireland has one of the most advanced and competitive telecommunications infrastructures in Europe. Features include an intercontinental billing service designed for companies with international call centres which provides a toll-free capability from Ireland to Europe and the United States. The telecommunications market is fully deregulated and currently more than 20 companies have entered the market. Large investments in recent years have resulted in state-of-the art optical networks with world-class national and international connectivity. e 10 labor costs are high. Labor costs in Ireland are actually among the most competitive in the Western world, especially when you consider the productivity of the Irish labor force in comparison to international standards. Another interesting fact is that Ireland has one of the longest average industrial working weeks in Europe (40 hours including overtime) and because of fewer public holidays, the longest working year. There are nine public holidays which, when added to average vacation time of four weeks, gives total non-working days of 29. This compares favorably with the European average of 36 days. 8 If you would like to discuss any of the above issues in more detail or if you would like further advice on setting up business in Ireland, please contact Russell Brennan Keane at +353 (090) 6480600 or info@rbk.ie. THE LEADING EDGE 13

Table of Contents Feed for the Digital Edition of The Leading Edge - Spring 2008

The Leading Edge - Spring 2008 Contents No Place To Go But Up Lessons from Harvard Bits & Pieces Conducting Business Outside the United States Top 10 Misconceptions of Doing Business in Ireland In a Nutshell: Q&A The Leading Edge Alliance

The Leading Edge - Spring 2008

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