At RizFin, we help expats and small business owners stay organised with bookkeeping, payroll, and financial reporting in Ireland. Understanding expat tax Ireland is essential for employees, freelancers, and those running foreign-owned companies. This guide provides an overview of how income tax Ireland for foreigners works, how the 75% rule applies, and what it means for self-employed tax Ireland foreigners and corporation tax Ireland foreign owned company structures.
👉 Note: This guide is for information only. For tailored tax advice, please consult a qualified advisor. RizFin focuses on financial clarity and compliance.
1. Residency and the 75% Rule
Your exposure to expat tax Ireland depends on your residency:
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Resident: 183+ days in a year or 280 across two.
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Ordinarily resident: after 3 years.
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Domicile: your “home country” for tax purposes.
If at least 75% of worldwide income is taxable in Ireland, you gain full credits. If less, only limited credits apply. This distinction is critical for income tax Ireland for foreigners, as it often creates thousands in differences annually.
🔗 Revenue – Non-residents & tax credits
2. Employees (PAYE)
Employees are taxed through the PAYE system:
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20% up to €42,000, 40% above.
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USC 0.5%–8%, PRSI 4%.
Tax Credits for Employees
| Credit / Relief | ≥75% Irish Income | <75% Irish Income |
|---|---|---|
| Personal Credit (€1,875) | ✅ Yes | ❌ No |
| PAYE Credit (€1,875) | ✅ Yes | ✅ Yes |
| Rent Tax Credit (up to €1,500) | ✅ Yes | ❌ No |
| Health Expenses (20%) | ✅ Yes | ❌ No |
| Work From Home Relief | ✅ Yes | ❌ No |
For those dealing with expat tax Ireland as employees, having structured payroll support is vital. RizFin provides payroll services Ireland to ensure accuracy and compliance.
3. Self-Employed Tax Ireland Foreigners
Freelancers and sole traders must file via self-assessment. The same tax bands apply, with USC and PRSI, plus a 3% USC surcharge on income above €100k.
🔗 Revenue – Self-assessment for self-employed
Credits & Reliefs for Self-Employed
| Credit / Relief | ≥75% Irish Income | <75% Irish Income |
|---|---|---|
| Earned Income Credit (€1,875) | ✅ Yes | ✅ Yes |
| Personal Credit (€1,875) | ✅ Yes | ❌ No |
| Dependent Relative Credit (€245) | ✅ Yes | ❌ No |
| Tuition Fees Relief | ✅ Yes | ❌ No |
The key advantage of self-employed tax Ireland foreigners is the ability to deduct expenses such as office, software, or insurance, reducing taxable income. RizFin supports you with bookkeeping services for expats Ireland so your records are clean and ready for Revenue.
4. Corporation Tax Ireland Foreign Owned Company
Companies pay corporation tax on profits:
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12.5% trading income.
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25% passive income.
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33% capital gains.
🔗 Revenue – Basis of Corporation Tax
A corporation tax Ireland foreign owned company is taxed the same as Irish-owned firms, though withholding tax applies to dividends, interest, and royalties.
🔗 Revenue – Company residency rules
🔗 PwC – Ireland corporate taxes
Example Comparison (Profit €120,000)
| Structure | Tax Paid | Net Income / Retained | Notes |
|---|---|---|---|
| Employee (≥75%) | €27,800 | €92,200 | Full credits available |
| Employee (<75%) | €31,500 | €88,500 | Fewer credits |
| Sole Trader (≥75%) | €27,800 | €92,200 | Can deduct expenses |
| Sole Trader (<75%) | €31,500 | €88,500 | Limited credits |
| Company (CT 12.5%) | €15,000 | €105,000 retained | WHT on dividends if extracted |
5. Non-Resident Tax Credits
Credits available depend on the 75% rule:
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With ≥75% Irish income: full credits (personal, rent, tuition, health, etc.).
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With <75%: only PAYE or Earned Income Credit.
✅ Key Takeaways
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Residency and the 75% rule Ireland tax determine credits for income tax Ireland for foreigners.
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Employees are straightforward but limited in reliefs.
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Self-employed tax Ireland foreigners can be efficient with deductible expenses.
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A corporation tax Ireland foreign owned company benefits from low Irish rates but must consider withholding taxes.
Next Steps
RizFin doesn’t provide tax advice. Instead, we make sure your bookkeeping, payroll, and reporting are structured, accurate, and compliant. Whether you’re dealing with expat tax Ireland as an employee, navigating self-employed tax Ireland foreigners, or managing a corporation tax Ireland foreign owned company, we keep your finances clear so you and your tax advisor can focus on strategy.
👉 Contact RizFin today for compliance support that gives you peace of mind.
