Value Added Tax (VAT) is a tax charged on the sale of most goods and services in Ireland
VAT is charged at different rates for various goods and services. These are the current VAT rates in Ireland that are in place for 2020 .
(Updated with July Stimulus changes )
23% is the standard rate of VAT.
The standard rate of VAT will be temporarily cut from 23% to 21% as part of the Government July stimulus package.
This new 21% rate of VAT will apply from September 1st 2020 until the end of February 2021
The standard rate of VAT applies to a wide range of goods and services including for example, the sale of motor vehicles, adult clothing, alcohol, electrical goods, most household goods, non-basic foodstuffs, many professional services and telecommunications.
All goods and services that do not fall into the reduced rate categories are charged at the standard rate. See below for reduced VAT rates.
13.5% : This rate of VAT is charged on items including
- fuel (coal, heating oil, gas, electricity. (It is 5% in the UK)
- vet fees,
- building and building services,
- agricultural contracting services,
- short-term car hire,
- cleaning and maintenance services.
- Catering and restaurant supplies, including vending machines and take-away food (excluding alcohol and soft drinks sold as part of the meal)
- Food Supplements
- Hotel lettings, including guesthouses, caravan parks, camping sites etc
- Short term accommodation .
- Cinemas, theatres, certain musical performances, museums, art gallery exhibitions
- Fairgrounds or amusement park services
- Hairdressing services.
9% is a special reduced rate of VAT for
- Facilities for taking part in sporting activities including green fees charged for golf and subscriptions charged by non-member-owned golf clubs.
- electronically supplied publications
More here on the 9% VAT Rate
4.8% is a rate of VAT specifically for agriculture.
It applies to livestock (excluding chickens), greyhounds and the hire of horses.
0% (Zero) VAT
Most food including Tea, coffee, milk, bread, butter, cheese , milk , vegetables, meat, etc.
(Not when supplied from a vending machine or in the course of catering.)
(NOT food supplements such as slimming or sports supplements and protein supplements)
Books, children’s clothes and children’s shoes,
Oral medicine for humans and animals,
Vegetable seeds and fruit trees, fertilisers, large animal feed,
Disability aids such as wheelchairs, crutches and hearing aids.
VAT Exempt :
There is no VAT on financial, medical or educational services.
You should also not pay VAT for live theatrical and musical performances except those where food or drink is served during all or part of the performance.
In Ireland – you can buy goods from outside the EU up to a value of €22 without incurring any VAT charges
VAT rates in the UK
In the UK – the standard VAT rate is 20%
There is a 5% VAT rate on home energy , children’s car seats
Zero VAT on most food and children’s clothes.