VAT (Value-Added Tax) is one of the most complex parts of running a business in Ireland. In this guide, we simplify VAT for Irish small business owners.

1. Who Must Register for VAT?

If your business turnover exceeds the following threshold in any 12 consecutive month period:

• €42,500 for services
• €85,000 for Goods
  …you must register for VAT with Revenue.

Some businesses may also register voluntarily to reclaim input VAT on expenses.

2. How Does VAT Work?

• You charge VAT on your sales (output VAT).
• You reclaim VAT on your purchases (input VAT).
• You pay the difference to Revenue in your VAT return.

3. VAT Rates in Ireland (2025)

• Standard rate: 23%
• Reduced rates: 13.5%, 9%, and 0% depending on your goods/services.

4. VAT Filing Deadlines

Most businesses file VAT returns every 2 months via ROS (Revenue Online Service). Late submissions may lead to penalties.

5. Common VAT Mistakes

• Incorrect VAT rate applied
• Late registration
• Missed deadlines
• Poor record keeping

6. How MyBookkeeper.ie Helps

• VAT registration assistance
• Accurate VAT return preparation
• Revenue compliance support
• Timely reminders of due dates

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Conclusion:
VAT doesn’t have to be overwhelming. Our team at MyBookkeeper.ie works with Irish businesses daily to manage VAT compliance and avoid costly mistakes. Book a free consultation today.