Who We Help
Our VAT compliance services in Ireland cover businesses of every size and type:
Irish-registered sole traders and limited companies filing bi-monthly VAT3 returns. Businesses approaching the VAT registration threshold and considering whether to register voluntarily. Companies with cross-border sales to EU and non-EU customers navigating reverse charge and place-of-supply rules. E-commerce businesses selling goods into the EU using the One-Stop Shop (OSS) or Import One-Stop Shop (IOSS). Non-resident businesses required to register for Irish VAT without a local establishment. Construction companies operating under VAT on construction services rules. Property developers and landlords dealing with VAT on property transactions and the Capital Goods Scheme. Businesses with Intrastat and VIES reporting obligations. Companies that have received a Revenue VAT query or are preparing for a VAT compliance review. Businesses behind on their VAT filings and needing to regularise their position.
Whether your VAT affairs are simple or complex, we provide the right level of support.
VAT Registration in Ireland
You must register for VAT in Ireland when your annual taxable turnover exceeds the relevant threshold:
€85,000 per year for businesses supplying goods. €42,500 per year for businesses supplying services. €41,000 per year for intra-EU acquisitions of goods from other EU member states.
Foreign businesses supplying goods or services in Ireland are generally required to register for VAT from their first taxable transaction there is no turnover threshold for non-established businesses.
Voluntary registration below the threshold is permitted and is often beneficial for businesses with significant input VAT on purchases they wish to reclaim for example, startups incurring large initial capital costs before they reach the registration threshold.
VAT registration is completed through ROS using Form TR1 (for sole traders, partnerships, and trusts) or Form TR2 (for limited companies). The process typically takes up to ten working days when the application is complete. We manage the full registration process for our clients.
Irish VAT Rates What Applies to Your Business
Ireland has four VAT rates and two exempt categories. Getting the right rate onto every invoice is a basic compliance requirement applying the wrong rate is one of the most common causes of VAT errors and Revenue queries.
23% the standard rate: Applies to most goods and services not covered by a reduced rate. General retail, professional services, software, electronics, and most B2B services fall here.
13.5% the reduced rate: Applies to construction and renovation services (on residential property), short-term accommodation, certain fuels, and other specified categories.
9% the second reduced rate: Restored from July 2025 for hospitality and catering restaurants, cafés, and hotel accommodation. Also applies to newspapers and certain cultural services.
4.8% the livestock rate: Applies specifically to food-producing livestock and greyhounds.
0% the zero rate: Applies to exports of goods outside the EU, intra-Community supplies to VAT-registered businesses in other EU member states, most food and drink (excluding alcohol, soft drinks, and certain confectionery), children’s clothing and footwear, medicines and certain medical devices, and certain printed materials.
Exempt supplies: Certain supplies are exempt from VAT entirely including medical and healthcare services, financial and insurance services, educational services, and the letting of residential property. Exempt businesses do not charge VAT and cannot reclaim input VAT on related costs.
Applying the wrong rate in either direction creates problems overcharging VAT means you owe more to Revenue than your customer has actually paid (if the error is not corrected), while undercharging means you have under-declared your VAT liability.
VAT Filing The VAT3 Return
The primary VAT return in Ireland is the VAT3. Most VAT-registered businesses file a VAT3 every two months covering the periods January/February, March/April, May/June, July/August, September/October, and November/December.
The filing deadline for bi-monthly VAT3 returns in 2026 is the 23rd of the month following the period end, when filing through ROS. For example, the January/February VAT3 is due by 23 March 2026.
From 1 April 2026, electronic filing through ROS is mandatory for all VAT-registered businesses. Paper returns are no longer accepted.
Alternative filing frequencies are available to businesses with low annual VAT liabilities four-monthly returns for businesses with an annual VAT liability under €14,400, and six-monthly returns for businesses with an annual VAT liability under €3,000. These are applied for through ROS. Annual filing is also available in some circumstances, with monthly direct debit payments in place throughout the year.
The VAT3 return reports your output VAT (VAT charged on sales), your input VAT (VAT paid on purchases that you are entitled to reclaim), and the net position either a payment due to Revenue or a refund due to you. If your input VAT exceeds your output VAT in any period, Revenue processes a refund typically within ten working days to your nominated bank account.
Associated VAT Declarations
Beyond the VAT3 return, VAT-registered businesses in Ireland may also have obligations under the following:
VIES VAT Information Exchange System: Businesses that supply goods or services to VAT-registered customers in other EU member states must file a VIES return each period, detailing the VAT numbers of EU customers and the total value of supplies made to each. VIES is filed through ROS alongside the VAT3.
Intrastat: Businesses that move goods between Ireland and other EU member states must file Intrastat declarations when their trade exceeds the relevant thresholds: €500,000 for arrivals (imports from the EU) and €635,000 for dispatches (exports to the EU) annually. Intrastat is a statistical declaration separate from the VAT3 and is due by the 23rd of the month following the reporting period.
RTD Return of Trading Details: An annual statistical return summarising your total sales and purchases broken down by VAT rate for the full year. The RTD must reconcile with the totals from your six bi-monthly VAT3 returns. Filed through ROS, due 23 days after your VAT year-end.
OSS One-Stop Shop: Businesses selling goods or digital services to consumers in other EU member states can use the OSS scheme to report and pay all EU VAT through a single return in Ireland, rather than registering separately in each country. This applies where total cross-border B2C sales exceed €10,000 per year.
IOSS Import One-Stop Shop: For businesses selling goods imported from outside the EU directly to consumers in EU member states where the consignment value is €150 or less, IOSS allows VAT to be collected at the point of sale and reported through a single monthly return.
We manage all of these filings for our clients as part of a comprehensive VAT compliance service.
GET IN TOUCH
Bringing It All Together
What We Do For You
VAT registration and de-registration: We manage the full registration process through ROS TR1 or TR2 as appropriate and advise on whether voluntary registration is advantageous before the threshold is reached. We also handle VAT de-registration when your turnover drops below the threshold or your business ceases to trade.
Bi-monthly VAT3 return preparation and filing: We reconcile your sales and purchases for each period, calculate your output and input VAT correctly, apply the right rates to each category of supply and purchase, and file your VAT3 through ROS before the 23rd deadline. You receive confirmation of filing and the net VAT position for each period.
VIES, Intrastat, and RTD filings: Where your business trades cross-border within the EU, we handle all associated declarations VIES, Intrastat (arrivals and dispatches), and the annual RTD as part of your overall VAT compliance.
VAT on property transactions: The VAT treatment of property transactions in Ireland is one of the most complex areas of VAT law involving the Capital Goods Scheme, the distinction between first and subsequent supply, transitional rules, and the treatment of development and lettings. We advise on VAT on property purchases, sales, and leases before transactions complete.
Reverse charge VAT: For intra-Community services, cross-border digital services, and certain domestic transactions (including VAT on construction services), the reverse charge mechanism shifts VAT accounting from supplier to customer. We apply the reverse charge correctly in every relevant context.
VAT refund claims: If your input VAT regularly exceeds your output VAT for example, because you export goods (zero-rated) but incur domestic VAT costs we prepare and manage your VAT refund claims to ensure Revenue processes them promptly.
VAT on imports: We advise on import VAT accounting, the Deferred Payment Authorisation Scheme (DPA) for postponing import VAT payment, and the correct treatment of import VAT in your VAT3 return.
VAT health checks: We review your current VAT position rates applied, invoicing practices, input VAT claimed to identify errors or risks before Revenue does. This is particularly valuable for businesses that have grown quickly or changed their mix of supplies without updating their VAT treatment.
Revenue VAT query management. If Revenue raises a query, requests documentation, or opens a VAT audit, we manage the response and representation professionally from the outset.
VAT Compliance Checklist Are You Meeting All Your Obligations?
Here is a plain-English checklist of the key VAT compliance requirements for Irish businesses:
You are VAT-registered if your turnover has exceeded the relevant threshold. Your VAT number appears on all VAT invoices you issue. You are applying the correct VAT rate to every category of goods or services you supply. Your VAT invoices contain all required information sequential number, issue date, your name and address, your VAT number, the customer’s name and address, a description of the goods or services, the VAT rate applied, and the VAT amount. You are filing VAT3 returns for every bi-monthly period through ROS, by the 23rd of the following month. You are filing VIES returns if you supply goods or services to VAT-registered customers in other EU member states. You are filing Intrastat declarations if your EU trade exceeds the relevant thresholds. You are retaining all VAT records invoices, receipts, bank statements, customs documents for a minimum of six years. You are only reclaiming input VAT on business purchases where a valid VAT invoice exists and the supply is for taxable business purposes. You are correctly applying the reverse charge on applicable intra-Community or domestic transactions.
If any item on this list raises a question for your business, we can help.
Penalties for VAT Non-Compliance in Ireland
Revenue takes VAT compliance seriously. The consequences of late filing, late payment, or incorrect returns include:
A fixed penalty of €4,000 for a late or incorrect VAT return. Interest at approximately 8% per annum (0.0219% per day) on unpaid VAT from the due date. Revenue audit selection, which can result in additional assessments covering multiple VAT periods. In serious cases of deliberate non-compliance suppression of sales, misapplication of zero-rating, fraudulent input VAT claims civil penalties of up to 100% of the VAT underpaid, plus potential criminal prosecution and publication in Revenue’s List of Tax Defaulters.
The most important protection against all of these outcomes is consistent, accurate, on-time filing. That is exactly what we deliver for our clients.
Frequently Asked Questions
When must I register for VAT in Ireland?
When your annual taxable turnover exceeds €85,000 for goods or €42,500 for services. Non-resident businesses supplying goods or services in Ireland must register from their first taxable transaction with no threshold. Voluntary registration is also available below these thresholds if it is commercially advantageous.
What is the VAT3 filing deadline in Ireland?
The 23rd of the month following the end of each bi-monthly VAT period, when filing through ROS. For example, the March/April VAT3 is due 23 May 2026. Electronic filing through ROS has been mandatory since April.
Can I reclaim VAT on all my business purchases?
You can reclaim input VAT on purchases used for taxable business purposes, provided you hold a valid VAT invoice for each item. VAT on items used for both business and personal purposes must be apportioned. Some purchases for example, business entertainment are explicitly excluded from input VAT recovery.
What is the reverse charge mechanism?
The reverse charge shifts VAT accounting from the supplier to the customer. Instead of the supplier charging VAT, the customer self-accounts for VAT in their own VAT3 return declaring both output and input VAT simultaneously. This is used for intra-Community B2B services, cross-border digital services, and certain domestic transactions including VAT on construction services.
Do I need to file Intrastat returns?
Yes, if your trade in goods between Ireland and other EU member states exceeds €500,000 for arrivals (imports) or €635,000 for dispatches (exports) annually. Intrastat is a statistical return separate from the VAT3 and is due by the 23rd of the month following each reporting period.
