Tax in Ireland

Who is the tax authority in Ireland?

The Office of the Revenue Commissioners (Coimisinéirí Ioncaim) is Ireland's principal tax authority, established under the Ministers and Secretaries Act 1924. Revenue administers Income Tax, USC, PRSI (alongside the Department of Social Protection), Corporation Tax, VAT, CGT, Capital Acquisitions Tax, Stamp Duty, Local Property Tax, Customs, and Excise. The Tax Appeals Commission is the independent first-instance appellate body for disputes.

Revenue publishes the Tax and Duty Manual, Statements of Practice, and eBriefs as operational guidance. The Revenue Online Service (ROS) is the primary portal for electronic filing and payment. Chartered Accountants Ireland (CAI) and the Irish Tax Institute's Chartered Tax-Adviser (CTA) programme are the main credentialling bodies for Irish tax practitioners.

What is the Irish tax year and when are returns due?

The Irish personal tax year matches the calendar year (1 January to 31 December). Self-assessed individuals file Form 11 by 31 October following the year-end; ROS e-filers receive an annual extension to mid-November announced by Revenue each year.

The Pay-and-File cycle means a self-assessed filer settles the prior year's balance and pays a Preliminary Tax instalment for the current year at the same deadline. Preliminary Tax equals the lower of 90% of the current-year liability, 100% of the prior year, or 105% of the liability two years prior (the 105% rule is only available by direct debit). Companies file Form CT1 within 8 months and 21 days of fiscal year-end and pay Preliminary Corporation Tax 31 days before year-end.

How is Irish tax residency determined?

Irish tax residency for an individual follows Section 819 TCA 1997: a person is resident for the year if present in Ireland for 183 days or more, or present for 280 days or more across the current and immediately preceding year combined (with a minimum 30 days in each year). A day counts if the individual is in Ireland at any time during that day — a post-2009 reform to the test.

Domicile is a distinct concept from residency. It is acquired at birth under common law and changes only by formal acquisition of a domicile of choice. Domicile drives Ireland's non-domiciled remittance basis: non-domiciled Irish residents are taxed on Irish-source income and on foreign-source income only to the extent remitted to Ireland. Ordinary residence — resident in three consecutive years — is a third concept affecting the deemed-disposal rule on emigration and the offshore-fund anti-avoidance regime.

What are the personal income tax rates in Ireland?

Ireland uses two income tax bands: 20% up to the Standard Rate Cut-Off Point (SRCOP) and 40% on income above it. The SRCOP for 2024 is EUR 42,000 for a single filer; following a 2024 Budget increase from EUR 40,000. Married couples and civil partners have higher SRCOPs depending on income-earning structure.

Ireland applies non-refundable tax credits rather than personal allowances. The Personal Tax Credit for 2024 is EUR 1,875 for a single filer; the PAYE credit is EUR 1,875 for employed individuals.

Universal Social Charge (USC) applies progressively on top of income tax. Pay Related Social Insurance (PRSI) also applies, making the combined top marginal rate approximately 52%.

Capital Gains Tax is 33% flat on chargeable gains, with a EUR 1,270 annual exemption per individual. Entrepreneur Relief reduces the rate to 10% on lifetime qualifying gains up to EUR 1 million for active entrepreneurs.

How does Irish corporate tax work?

Ireland operates a three-rate corporate regime. The 12.5% trading rate applies to income from an active business under Section 21 TCA 1997 — the centrepiece of Irish corporate positioning. The 25% rate applies to non-trading income: passive investment income, rental income, and certain land-development gains.

The OECD Pillar Two Global Anti-Base Erosion rules were enacted via Part 4A TCA 1997 from 31 December 2023. The Irish Qualified Domestic Minimum Top-up Tax (QDMTT) and Income Inclusion Rule apply to in-scope groups. The Knowledge Development Box (KDB) reduces the effective rate on qualifying intellectual-property income to 6.25%. The R&D Tax Credit is 30% of qualifying expenditure under the post-Finance Act 2023 enhanced rate, available as a refundable credit over three instalments.

What are the Irish VAT rates?

Ireland's VAT system operates within the EU VAT Directive. Five rate bands apply depending on the goods or service category.

Mandatory VAT registration thresholds are EUR 85,000 for goods and EUR 42,500 for services in any 12-month period (raised from EUR 80,000 / EUR 40,000 from 1 January 2025). The EU One-Stop Shop (OSS) and Import One-Stop Shop (IOSS) apply to cross-border B2C supplies. Reverse-charge rules apply to B2B services from non-established suppliers.

How are cryptoassets taxed in Ireland?

Revenue's published guidance treats cryptoassets as chargeable assets for Capital Gains Tax, not as currency. Gains on disposal — sale for fiat, exchange for another cryptoasset, payment for goods or services — are subject to CGT at 33% with the EUR 1,270 annual exemption. The standard share-pooling rules under Section 580 TCA 1997 apply, including the same-day and 4-week bed-and-breakfast rules.

Receipt of cryptoassets as employment compensation, mining rewards, staking rewards, or airdrops is taxable as ordinary income at fair market value on receipt. That value becomes the CGT base cost for any later disposal. Where activity amounts to a trade, gains and losses fall under trading income at progressive personal rates — a characterisation that is rare for non-professional individuals.

What is the Irish treaty network?

Ireland maintains approximately 75 comprehensive Double Taxation Conventions in force. Most follow the OECD Model with Irish reservations, particularly the credit method for foreign tax. Ireland signed and ratified the OECD Multilateral Instrument (MLI); the MLI's modifications, including the Principal Purpose Test, apply to covered treaties from 2019 onward.

Irish-resident companies also benefit from the EU Parent-Subsidiary Directive and the EU Interest and Royalties Directive, eliminating most withholding tax on qualifying intra-EU flows. A unilateral foreign-dividend exemption for Irish resident companies was introduced from 1 January 2025, simplifying the historical worldwide-credit system.

Where does Ireland sit in the EU tax cohort?

Ireland anchors the EU low-tax holding-company cohort alongside the Netherlands, Luxembourg, and Malta. The broader EU and EFTA jurisdictions split into five distinct tax archetypes.

Common pitfalls for businesses and individuals in Ireland

Foreign companies and individuals consistently trip on a handful of recurring traps when operating in Ireland.

When should you speak to a Chartered Tax-Adviser in Ireland?

Some situations are straightforward via Revenue Online Service (ROS). Others become complex quickly and benefit from input by a credentialled Irish Chartered Tax-Adviser (CTA of the Irish Tax Institute).

• Income above EUR 42,000 where the 40% band begins and USC at 8% stacks in
• Cross-border situations: arriving in Ireland, leaving Ireland, or receiving foreign income as an Irish resident
• Non-Irish domicile and remittance-basis questions — the regime is narrow and constantly under reform
• Establishing a company and assessing whether it meets the Section 21 trading test for the 12.5% rate
• MNE groups approaching or above EUR 750 million consolidated revenue under Pillar Two
• IP licensing arrangements and eligibility for the KDB 6.25% rate
• Cryptoasset disposals, mining income, or staking income with material CGT or income-tax implications
• Revenue compliance interventions, audits, or notices of assessment

This page is general information. It is not personal guidance for your specific situation. Tax rules change. Always check current figures on the Revenue website (revenue.ie) or with a qualified Irish tax practitioner before filing.

Cáin agus Custaim na hÉireann — the Irish-language name for Revenue Commissioners — appears on official correspondence and stamps.