There are reduced rates of VAT of 4.8%, and 13.5%.
VAT is charged on assets and services in Ireland as well as on imports into Ireland.
The minimum turnover for registering with the VAT authorities is EUR 35,000 (for services) and EUR 70,000 (for goods).
VAT returns are made once every two months. In certain cases, it is possible to make a return once a year.
Transactions that are Exempt from VAT
The following products and services are exempt from VAT:
Export.
Health and medical services.
Children's clothing.
Insurance and banking services.
Food.
Agricultural fertilizers.
Inheritance tax/gift tax
Tax is payable on an inheritance in Ireland, and on gifts. The tax is known as CAT (Capital Acquisition Tax).
When either the donor of the gift/the testator or the recipient of the gift/the heir is an Irish resident, the tax is also applicable to overseas assets.
The tax is payable at 20%, over and above the amount of the exemption.
The amount of the exemption varies between EUR 23,908 and EUR 478,155.
Generally speaking, the closer the relationship between the donor/testator and the recipient/heir, such as in the case of a spouse, son or daughter, the greater the sum exempt.
Stamp Duty
Stamp duty of 1%-9% is payable in the case of certain documents. The maximum rate of tax is 9%.
Share Capital Tax
Tax is payable at the rate of 1% on the increase or issue of share capital in a corporation.
