Micro firms tax credit could create 80,000 jobs

A targeted tax credit for firms employing fewer than 10 people could create 80,000 new jobs at no net cost to the exchequer and reduce the current unemployment rate to 6%.

In its pre-budget submission, Dublin Chamber called on the Government to offer an employer’s PRSI tax credit for the first three years of a micro-company’s existence in order to incentivise employment growth.

Employer’s PRSI is applied at a rate of 10.75% on each new staff member taken on.