Ireland raises its VAT registration thresholds to €85,000 for goods and €42,500 for services
This page records one dated change. For the rules in Ireland as they stand today, see the Ireland guide →
- Jurisdiction
- Ireland
- Tax
- VAT
- Change type
- Threshold
- Status
- In force
- Impact
- Action required
- Announced
- 12 November 2024
- Effective
- 1 January 2025
- Authority
- Irish Statute Book (electronic Irish Statute Book, Office of the Attorney General)
- Verified
- Fetched from official source · high confidence
Irish-established businesses with turnover near the registration thresholds, which apply to goods and services separately.
Ireland's VAT registration threshold is €85,000 for goods and €42,500 for services from 1 January 2025.
Section 78 of Ireland's Finance Act 2024 (Act No. 43/2024), signed 12 November 2024, raised the VAT registration threshold for goods from €80,000 to €85,000 and for services from €40,000 to €42,500, with effect from 1 January 2025.
What changed in detail
Section 78 of the Finance Act 2024 (No. 43 of 2024), signed on 12 November 2024, amends two definitions in section 2(1) of the Value-Added Tax Consolidation Act 2010, with effect from 1 January 2025:
- the goods threshold rises from €80,000 to €85,000;
- the services threshold rises from €40,000 to €42,500.
These are the turnover limits above which a business established in Ireland must register for VAT. The goods threshold applies where at least 90% of turnover comes from supplying goods. The services threshold applies to everyone else. The figures being replaced had applied for 2024 under section 58 of the Finance (No. 2) Act 2023.
What it means
This change is still in force. The Law Reform Commission’s revised text of section 2(1) still reads €85,000 for the goods threshold and €42,500 for the services threshold, with no later amendment noted. It was the second rise in two years, following the €80,000 / €40,000 thresholds for 2024.
A business that was below the old limits and stays below the new ones is not affected. One that crossed €80,000 or €40,000 during 2025 but stayed under the new figures had no obligation to register.
Proof
78. Section 2(1) of the Principal Act is amended, with effect from 1 January 2025— (a) in the definition of “goods threshold”, by the substitution of “€85,000” for “€80,000”, and (b) in the definition of “services threshold”, by the substitution of “€42,500” for “€40,000”.
Source snapshot of the official page. Open full size ↗Sources
What this replaces
- Ireland raises its VAT registration thresholds to €80,000 for goods and €40,000 for services effective 1 January 2024