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Ireland VAT Guide 2026

Ireland's Value-Added Tax (VAT or CBL) applies a standard rate of 23%, a reduced rate of 13.5% for construction, food services, and hotels, a second reduced rate of 9% for newspapers and sporting facilities, and a 0% rate for most food, children's clothing, and exports. VAT registration is compulsory when turnover exceeds €37,500 (services) or €75,000 (goods). All amounts in EUR.

Ireland's Value-Added Tax (VAT / Cáin Bhreisluacha) is a consumption tax administered by Revenue. For related guidance, see our Personal Income Tax Guide → and Corporate Tax Guide →.

VAT Rates 2026

  • 23% (Standard Rate) — applies to most goods and services not covered by reduced rates, including electronics, adult clothing, alcohol, and motor vehicles
  • 13.5% (Reduced Rate) — construction services, certain food supplies in catering/hotels, tourism accommodation, agricultural services, hairdressing, and printed matter
  • 9% (Second Reduced Rate) — newspapers, sporting facilities, fairground and amusement park services, and certain periodicals
  • 0% (Zero Rate) — most food (excluding restaurant meals), children's clothing and footwear (under age 11), oral medicines, books, and exports
  • Exempt — insurance, banking, education, healthcare, and certain property transactions (VAT-exempt with no input credit)

Registration Thresholds

  • Services: €37,500 annual turnover — compulsory registration if exceeded
  • Goods: €75,000 annual turnover — compulsory registration if exceeded
  • Intra-Community acquisitions from EU: €41,000
  • Voluntary registration is available for businesses below these thresholds

How VAT Works

  • Businesses charge VAT on taxable supplies (output VAT) and can reclaim VAT on business purchases (input VAT)
  • The net amount is remitted to Revenue (usually bi-monthly, quarterly, or annually depending on turnover)
  • VAT-registered businesses must issue tax invoices showing the VAT amount charged

VAT Returns & Compliance

  • Filing: VAT returns are typically filed every 2 months (bi-monthly) online via ROS
  • Annual return: Businesses with annual VAT liability under €3,000 may file annually
  • RTD (Real-Time Data): Ireland requires electronic submission of invoice-level data for certain transactions
  • Penalties: Late filing and late payment surcharges apply (5%–10% depending on delay)

Reverse Charge & Special Schemes

  • The reverse charge mechanism applies to certain construction, property, and cross-border transactions
  • Flat-rate scheme for farmers (flat-rate addition of 5.5% on sales to VAT-registered traders)
  • Margin scheme for second-hand goods, art, antiques, and collectibles