Irish VAT Rate Calculator 2026 — Add or Remove VAT

How to use the Revolut Fee Calculator

To calculate fees on a payment you receive:

Enter the amount your customer pays in the left input. Select your payment method and card type. The calculator shows you the Revolut fee, any applicable charges, and exactly how much you will receive.

To calculate what to charge:

Enter the amount you want to receive in the right input. The calculator works backwards and tells you what price to charge your customer so that after Revolut's deduction you receive your target amount.

To compare with Stripe:

The results section shows the equivalent Stripe fee including VAT alongside your Revolut fee so you can see the saving at a glance.

For currency exchange:

Use the Currency Exchange tab to calculate the Revolut fee for exchanging money above your monthly free allowance. Enter the total amount you want to exchange and the calculator shows you the fee and the effective rate.

Business Taxes

What is VAT?

VAT stands for Value Added Tax. It is a consumption tax charged on most goods and services sold in Ireland. If your business is VAT registered, you collect VAT from your customers and pay it to Revenue. You can also reclaim VAT you have paid on business purchases.

For business owners the most important practical question is which rate applies to what you sell, and whether the prices you quote to customers are VAT inclusive or exclusive.

This calculator handles both. Enter a net price to add VAT, or enter a gross price to remove VAT and see the breakdown.

The Irish VAT Rates Explained

23% — Standard Rate

This is the default rate that applies to most goods and services in Ireland unless a specific reduced rate applies. If you are unsure which rate applies to your product or service, the answer is almost always 23%.

Common examples include professional services, website design, software, electronics, clothing for adults, furniture, alcohol, and most business-to-business services.

This is also the rate charged on top of Stripe's processing fees, which is why Irish businesses pay more than the headline Stripe rates suggest. Our Stripe fee calculator accounts for this automatically.

13.5% — Reduced Rate

This rate applies to a specific list of goods and services defined by Revenue. Common examples include construction services and materials, renovation and repair work, catering and restaurant meals, hotel accommodation, hairdressing, car repairs and maintenance, concrete and certain building materials, and home heating fuel.

If you are a tradesperson, builder, or work in hospitality this is likely your rate.

9% — Second Reduced Rate

This rate applies mainly to printed and electronic newspapers and periodicals, certain tourism and leisure services, and access to sporting facilities. It was temporarily extended to the hospitality sector during the pandemic period but has since reverted. Always check with Revenue or your accountant if you are unsure whether your service qualifies.

4.8% — Livestock Rate

This specialist rate applies to livestock, greyhounds, and the hire of horses. It is unlikely to apply to most businesses using this calculator but is included for completeness.

0% — Zero Rate

Zero-rated goods and services are still subject to VAT in principle but the rate is 0%. This matters because if you are VAT registered you can still reclaim input VAT on your costs even when your sales are zero-rated.

Common zero-rated items include most food and drink for human consumption, children's clothing and footwear, books and certain printed materials, oral medicines, and exports to countries outside the EU.

VAT Exempt

Exempt supplies are different from zero-rated supplies. If your supplies are exempt you cannot reclaim input VAT on the costs related to those supplies, which is an important distinction.

Common exempt categories include financial services, insurance, education, health and medical services, and the letting of property. If the majority of your business falls into an exempt category you should take specialist advice on your VAT position.

VAT Registration

When Do You Need to Register for VAT in Ireland?

From January 2025 the VAT registration thresholds in Ireland are €85,000 for goods and €42,500 for services.

You are obliged to register once it is clear you will exceed the threshold, not after you have already gone past it. If you have signed contracts or firm orders that will push you over, you should register before you start trading.

Revenue monitors turnover on a rolling 12-month basis, meaning you look back over the previous 12 months at any given time, not just the calendar year.

If your business supplies both goods and services the threshold that applies depends on which activity makes up the majority of your turnover.

Can you register voluntarily before reaching the threshold?

Yes. Many businesses register voluntarily even before reaching the threshold because it allows them to reclaim VAT on their business costs. This can be beneficial if you have significant startup costs or if most of your customers are other VAT-registered businesses who can reclaim the VAT you charge them anyway.

What happens if you do not register when required?

Late registration carries real risks including VAT due on past sales even if you never charged your customers, interest and penalties for late compliance, and a more complicated relationship with Revenue from the start.

If you think you should already be registered, the right approach is to seek professional advice and approach Revenue proactively rather than waiting.

VAT and Your Pricing — A Practical Guide for Small Businesses

One of the most common mistakes Irish small businesses make is confusion about whether their prices are VAT inclusive or exclusive. This causes real problems when customers receive invoices that are higher than quoted.

Ex VAT Pricing

If you quote prices excluding VAT the price you tell your customer is the net price. You then add VAT on top when you invoice. For example if you charge €1,000 for a service at 23% VAT your invoice total is €1,230.

Inc VAT Pricing

If you quote prices including VAT the price you tell your customer is the final amount they pay. You then calculate the VAT element within that figure. For example if you charge €1,230 inclusive of 23% VAT the VAT element is €230 and your net income is €1,000.

For business-to-business sales most professionals quote exclusive of VAT because their clients can reclaim it. For consumer-facing businesses most prices are quoted inclusive of VAT as the consumer cannot reclaim it.

The Remove VAT mode in the calculator above handles this exactly. Enter the gross price your customer pays and it tells you the net amount and the VAT element within it.

FAQs

Frequently Asked Questions

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