Do you actually have to register?
Registration becomes mandatory when your turnover in any continuous 12-month period passes:
| What you sell | Threshold |
|---|---|
| Services | €42,500 |
| Goods | €85,000 |
| Mixed (goods + services) | €85,000, if at least 90% of turnover is goods — otherwise €42,500 |
The trap in that sentence is “any continuous 12-month period” — it’s a rolling window, not a tax year. A busy six months can tip you over even if the calendar year looks safe. Watch the trailing 12 months, not January-to-December.
Domestic-only or intra-EU?
Ireland runs two-tier registration. Domestic-only is for businesses trading within Ireland; it’s processed faster with fewer questions. Intra-EU registration is for anyone buying from or selling to other EU countries and comes with more scrutiny. Pick honestly — a domestic-only registration can be upgraded to intra-EU later when you need it.
The application itself
- Through ROS — most companies and sole traders apply online via Revenue’s eRegistration in ROS (or through their agent or accountant).
- Paper forms — the TR1 (individuals, sole traders, partnerships) and TR2 (companies) still exist for applicants who can’t use eRegistration.
- What Revenue asks for — a description of your activity, expected turnover, bank details, and for intra-EU registrations often evidence of trade: contracts, invoices, supplier letters. Thin “I might trade someday” applications are the main reason for refusals.
What changes once you’re registered
- Your prices carry VAT. Everything you sell now has VAT added at the right rate — 23%, 13.5%, 9%, 4.8% or 0%. Our VAT calculator gives you the net/VAT/gross split for any price instantly.
- You reclaim VAT on costs. VAT paid on business purchases comes back through your returns — often the reason small B2B businesses register voluntarily.
- You file VAT3 returns. Typically every two months through ROS. See our VAT3 guide for the mechanics and deadlines.
- Your invoices change. They must show your VAT number, the rate applied, and the VAT amount separately.
Frequently asked questions
What is the VAT registration threshold in Ireland?
You must register once your turnover in any continuous 12-month period exceeds €42,500 for services or €85,000 for goods. The 12 months are rolling — not a calendar year.
Can I register for VAT voluntarily below the threshold?
Yes. Voluntary registration lets you reclaim VAT on business costs, which often makes sense if your customers are VAT-registered businesses. It rarely makes sense if you sell to the public, because charging VAT makes you 23% dearer overnight.
How long does VAT registration take?
Straightforward domestic-only applications through ROS are often processed within a few weeks. Applications for intra-EU registration get more scrutiny and can take longer, sometimes with follow-up questions from Revenue.
What is two-tier VAT registration?
Since 2019 Ireland has two types: domestic-only (trading within Ireland) and intra-EU (trading with other EU states). Apply for the one that matches your trade — you can upgrade a domestic-only registration to intra-EU later.