Quick answer: Revenue states that VAT registration is generally compulsory where annual turnover exceeds the relevant threshold. The principal thresholds include €42,500 for businesses supplying services only and €85,000 for businesses supplying goods. Different rules can apply to mixed supplies, EU acquisitions, distance sales and businesses not established in Ireland.
Reviewed: 14 October 2026. This guide is general information, not tax advice.
Reviewed by Saiful Alam Sabuj M.
ACCA-qualified · Managing Partner and Accountant at Stratancy Consulting
What are the main VAT registration thresholds in Ireland?
Revenue currently lists a €42,500 threshold for persons supplying services only and an €85,000 threshold for persons supplying goods. The €85,000 threshold can also apply to businesses supplying both goods and services where 90% or more of turnover comes from qualifying supplies of goods.
Revenue also publishes separate thresholds and rules for matters such as intra-Community acquisitions, certain distance sales and cross-border telecommunications, broadcasting and electronically supplied services.
Is VAT registration always based on turnover?
No. Turnover thresholds are important, but they are not the only consideration. Revenue notes that persons not established in the State can have an Irish VAT registration obligation in particular circumstances irrespective of turnover, subject to the applicable VAT rules and available schemes.
Can a business register voluntarily below the threshold?
Revenue allows businesses below the relevant compulsory threshold to elect to register for VAT in appropriate circumstances. A voluntary registration can affect pricing, invoicing, input VAT recovery, administration and cash flow, so the wider position should be considered before registering.
What information should be ready before registration?
- Business and tax registration details.
- A clear description of the goods or services supplied.
- Expected and current turnover information.
- Details of customers, suppliers and trading locations where relevant.
- Supporting evidence of economic activity where Revenue requests it.
- Accounting records that can support VAT reporting after registration.
What happens after VAT registration?
Registration creates an ongoing compliance cycle. VAT-registered businesses need appropriate invoices and records, accurate VAT coding, regular reconciliations and periodic VAT returns. Revenue also requires VAT-registered businesses to complete an annual Return of Trading Details.
Official Revenue sources
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