VAT is a direct tax on the sale of goods and services and the key measure put in place to assist businesses was the overall reduction in the standard rate of VAT from 23% to 21%. This reduction is to apply for the six-month period from 1 September 2020 to 28 February 2021. The impact should of course be most profound within the retail sector and it would be expected that such a reduction if passed on to consumers should have the impact of boosting consumer spending as we emerge from the various levels of restriction into the busy Christmas shopping period.
Other measures of note with regard to VAT include:
To discuss the above in further detail, please contact:
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VAT in the Digital Age (ViDA) 516.89 KB
On 25 March 2025 the ViDA package was published in the Official Journal of the EU marking a pivotal moment for VAT in the EU. ViDA is a set of legislative reforms aimed at modernizing the EU's VAT system to better align with technological advancements and address challenges such as VAT fraud and the platform economy. The ViDA updates aim to create a more efficient and business-friendly VAT system, benefiting SMEs by reducing administrative burdens and compliance costs. Irish Revenue conducted a public consultation from October 2023 to January 2024 to gather taxpayer insights. The consultation emphasised the practical concerns, as well as proposals for real-time digital VAT reporting and electronic invoicing and it is expected that this will be considered when Irish Revenue publish related rules applicable in Ireland. The package will officially come into force on 14 April 2025 with implementation timelines extending into the 2030s.
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Irish VAT, UK VAT & Customs Considerations Presentation - RBK Bishop Fleming Swiftfile 1.66 MB
RBK, Bishop Fleming and Swiftfile presented at a webinar on 2nd March 2021 were they shared practical insights and provided guidance in relation to Irish VAT, UK VAT and Customs.
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