Accounting for VAT on received services (self accounting)

If you receive services from abroad for business purposes (both from the European Union (EU) and outside the EU), you may have to register and account for the Value-Added Tax (VAT) in the State. In these circumstances, you are regarded as the supplier of the services for VAT purposes.

There is no registration threshold for received services.

VAT-registered business

You must account for the VAT in your periodic VAT return on the invoiced amounts at the appropriate Irish VAT rate. You are treated as if you had made the supply yourself. This is known as self accounting.

You must provide your VAT number to the supplier otherwise you may pay VAT in the other Member State.

You may be entitled to reclaim the VAT in the same VAT return.

VAT-exempt business

VAT-exempt businesses (for example, bookmakers, banks, insurance companies) who receive taxable services for business purposes from outside the State must register and account for Irish VAT on these received services.

Flat-rate farmers, fishermen and race-horse trainers

Flat-rate farmers, fishermen and race-horse trainers who register in respect of receiving such services are entitled to retain their unregistered status in respect of their farming or fishing activities.

Supplies of services to non-taxable legal persons

Non-taxable legal persons (for example, local authorities, State agencies and semi-State bodies) who already have a VAT number are required to provide their VAT number to suppliers from abroad and self account for received services.

Non-taxable legal persons, who do not have a VAT number are not required to account for VAT on services received from abroad.