Ireland VAT Rate 2026: 23% Standard Rate

How Much Is VAT in Ireland?

The standard VAT rate in Ireland is 23% in 2026, plus reduced rates of 9%, 13.5% on certain goods and services. It applies to most goods and services sold in Ireland. Among the 27 EU member states, standard VAT ranges from 17% in Luxembourg to 27% in Hungary.

How to calculate Ireland VAT

To add 23% VAT to a net (tax-exclusive) price, multiply it by 1.23. To remove VAT from a gross (tax-inclusive) price, divide it by 1.23.

• Add VAT: EUR 100 net × 1.23 = EUR 123 gross (that is EUR 23 of VAT)
• Remove VAT: EUR 123 gross ÷ 1.23 = EUR 100 net (that is EUR 23 of VAT)

Use the Ireland VAT calculator above for any amount, or compare Ireland with every other country in our VAT rates by country table.

Current VAT Rates

Historical VAT Rate Changes

• 2026: Current standard rate in force
• 2012: Standard rate raised to 23%
• 1972: VAT introduced ahead of EEC membership

Economic Impact

VAT contributes approximately 20-30% to Ireland's total tax revenue. The current rate structure balances revenue generation with economic competitiveness within the EU region.

Zero-Rated Items

The following items are zero-rated for VAT in Ireland:

• Exports of goods and services
• International transportation
• Some basic food items
• Children's clothing
• Books and newspapers
• Prescription medications

VAT Exempt Items

The following are exempt from VAT in Ireland (no VAT charged, no input VAT recovery):

• Financial services
• Insurance services
• Healthcare and medical services
• Education and training
• Postal services
• Charitable activities

Reduced Rate Applications

Items subject to reduced VAT rates in Ireland:

• 9% rate: Gas and electricity, newspapers, e-books and sporting facilities
• 13.5% rate: Fuel, building services, restaurants, hotels and hairdressing

Ireland requires VAT registration once turnover exceeds €85,000 for goods or €42,000 for services. Always confirm current thresholds and deadlines with the Revenue Commissioners, as they are reviewed periodically.

VAT Registration

• Registration Threshold: €85,000 (goods) / €42,000 (services)
• Voluntary Registration: Available below threshold
• Registration Process: Online via tax authority website
• Processing Time: Typically 2-4 weeks

VAT Returns and Payment

• Filing Frequency: Bi-monthly, with options for less frequent filing
• Filing Deadline: End of month following period
• Payment Methods: Bank transfer, online payment
• Late Filing Penalties: Varies by amount and delay

Cross-Border Trade

Special considerations for international transactions:

• Intra-EU Trade: Zero-rated with valid VAT numbers
• Imports: VAT payable at point of entry
• Exports: Generally zero-rated
• Digital Services: Subject to OSS rules for B2C sales

For background on how the buyer accounts for VAT on intra-EU and cross-border B2B supplies, see the reverse charge mechanism. For B2C digital sales and low-value imports, see VAT on digital services and cross-border e-commerce.

Nearby Countries

What is the current VAT rate in Ireland?

The standard VAT rate in Ireland is 23% as of 2026. This applies to most goods and services unless they qualify for reduced rates or exemptions.

How do I calculate VAT in Ireland?

To add VAT: multiply the net amount by 23%. To remove VAT from a gross amount: divide by 1.23. Use our calculator above for instant results.

Who needs to register for VAT in Ireland?

Ireland requires VAT registration once turnover exceeds €85,000 for goods or €42,000 for services.

Can I reclaim VAT in Ireland?

VAT-registered businesses can generally reclaim input VAT on business purchases. Non-EU tourists may claim VAT refunds on qualifying purchases when leaving the country — see our guide to VAT refunds for tourists and non-resident businesses.