Budget 2013 - Other Reliefs

Foreign Earnings Deduction

The FED was introduced in 2012 in respect of income earned whilst working in Brazil, Russia, India, China or South Africa. With effect from 1 January 2013, the number of states has been extended to include Algeria, Democratic Republic of Congo, Egypt, Ghana, Nigeria, Senegal and Tanzania.

Charitable Donations

Simplification of the scheme of tax relief available for donations to charitable and other approved bodies, including the introduction of a blended rate of relief of 31% and an annual donation limit of €1 million per individual, which could be tax relieved under the scheme.

Donations from all individual donors under the scheme would be treated in the same manner, with the tax relief at the blended rate in all cases being repaid to the charity. This would mean that self-assessed individuals would no longer be able to claim a deduction on their tax returns for donations made under the scheme.

Legislation providing for the changes will be set out in the forthcoming Finance Bill.

Employment and Investment Incentive (EII)

The EII scheme will be extended from 2014 to 2020, subject to State Aid clearance.

Film Relief

The Film Tax Relief Scheme is extended to 2020. The scheme will be reformed by moving to a tax credit model in 2016.

Aviation Sector

An accelerated capital allowance scheme over seven years in relation to construction of certain aviation-specific facilities to be introduced which will operate for a period of 5 years from commencement of the scheme. Details to be included in the Finance Bill.


No changes to the existing provisions were announced in the Budget.


There were no changes announced in the Budget.

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