Accountants for locum doctors in Ireland, status, VAT and tax set up right
Locum work gives you freedom, and three questions that employed doctors never face: are you an employee or self-employed, does your income carry VAT, and who is withholding what? We answer all three before you file anything.
Which side of the line are you on?
Employee or self-employed? A quick check.
Revenue does not let you choose your status. It looks at the facts of how you work, using its Code of Practice and the tests set out by the Supreme Court in the 2023 Karshan decision.
Answer six questions to see which way your working pattern leans. It is a guide, not a ruling.
Could you send a suitably qualified locum in your place?
What is different about locum income
Where the money comes from changes the tax
- Usually PAYE and PRSI as an employee
- No VAT on your pay
- Expenses go through your employer
- Status depends on the contract
- Check whether tax was deducted
- Ask what VAT, if any, is on the invoice
- Normally self-employed
- Locum services are standard-rated for VAT
- Invoice, record and file a Form 11
- Same VAT treatment as an individual
- Corporation tax and director payroll
- Revenue looks closely at one-client companies
Costs, pension and deadlines
What self-employed locums often claim
The test is whether a cost is incurred wholly and exclusively for your work. Employees face a narrower test, so the answer depends on your status.
- Medical indemnity and the Medical Council retention fee
- CPD courses and professional exams
- Travel between different sites, but not ordinary commuting
- Phone, software and professional subscriptions
Saving tax on irregular income
Because locum income varies, contributions can be timed to the years when your income is highest.
- Relief by age: 15% under 30 up to 40% from 60
- Earnings counted are capped at €115,000
- Contribute before you file your Form 11
- Self-employed: use a PRSA or personal pension
The dates that catch locums out
Irregular income makes the deadlines easier to miss.
- Form 11 due 31 October, 18 November 2026 on ROS
- Preliminary tax: 90% of this year, 100% of last year, or 105% of the year before by direct debit
- VAT returns usually every two months once registered
- Keep records for six years
Employee, self-employed or your own company
| PAYE employee | Self-employed | Own company | |
|---|---|---|---|
| Tax return | Usually none, or Form 12 for other income | Form 11 and preliminary tax | CT1, plus payroll for your salary |
| VAT | None on your pay | Standard rate on locum supply to a practice once registered | Same as an individual |
| Costs | Narrower test, via your employer | Wholly and exclusively | Company costs, with director rules |
| Best when | You work set hours for one employer | You choose your shifts and invoice | You retain profit to reinvest, after modelling |
Three locum myths
Questions about accountants for locum doctors
Am I employed or self-employed as a locum?
It depends on the facts, not the label. Revenue’s Code of Practice and the Supreme Court’s 2023 Karshan decision set the tests, including control, substitution and who bears the financial risk.
Do locum doctors charge VAT?
A locum who supplies their services to a medical practice cannot use the medical exemption. Those services are taxable at the standard rate of 23%, whether supplied by an individual or a company, once you are registered.
When do I need to register for VAT?
When taxable services exceed, or are likely to exceed, €42,500.
What is PSWT and does it apply to me?
A 20% withholding that public bodies and authorised health insurers make from certain medical payments. Where it is deducted, you claim it as a credit on your return.
What expenses can I claim?
If you are self-employed, costs incurred wholly and exclusively for your work, such as indemnity, Medical Council fees and CPD, and travel between sites, but not ordinary commuting.
When is my Form 11 due?
31 October, or 18 November 2026 if you file and pay through ROS.
How should I plan pension contributions?
Relief depends on age and is capped on earnings of €115,000. Contribute before you file to bring the relief into the right year.
Can you review my agency contract?
Yes. Send us the agreement and we will tell you what it means for status and VAT.
Related guides
Accountants for medical professionals
Tax, VAT and structure for doctors, dentists, therapists and pharmacists.
SECTORServices for medical practitioners
Accounts, VAT and PSWT for GP and consultant practices.
TAXIncome tax returns (Form 11)
Filing and paying through ROS, with the right deadline.
TAXVAT registration
When to register, the thresholds and how returns work.
Working as a locum?
Send us your contracts and a rough picture of your income. We will tell you your status, your VAT position and what to put aside.
- Your agency or practice contracts
- Roughly how much you invoice
- Whether tax is withheld
- Whether you have registered for VAT
Contact Us
Office Address
Unit 80, Cherry Orchard Business Park, D10NX96, Dublin 10, Ireland
Working Hours
Mon–Fri 9:00 AM – 6:00 PM
Email or Call Us
Email: moh@tasconsulting.ie
Mobile: +353 85 1477625