Stamp Duty in Ireland

Stamp duty in Ireland is a government tax on certain legal transactions, most commonly when property, land, or shares are transferred. It’s a crucial cost to factor in when purchasing real estate or investing in Irish companies, yet it’s often misunderstood.

In this comprehensive guide, we’ll cover:

• What stamp duty is in Ireland
• Current stamp duty rates (2025)
• How to calculate stamp duty
• Who pays stamp duty and when
• Stamp duty exemptions and reliefs
• Special rules for first-time buyers
• How to file and pay stamp duty in Ireland
• Common mistakes and how to avoid them

What Is Stamp Duty in Ireland?

Stamp duty is a tax charged on written instruments - legal documents that record or give effect to a transaction. In Ireland, the most common transactions that attract stamp duty include:

• Residential property purchases (houses, apartments, new builds)
• Non-residential property purchases (commercial premises, development land, agricultural land)
• Transfers of shares in Irish companies
• Certain leases, mortgages, and insurance policies

The tax is governed by the Stamp Duties Consolidation Act 1999 and administered by Revenue through the eStamping system.

Stamp Duty Rates in Ireland (2025)

The stamp duty rate depends on the nature of the property or asset.

1. Residential Property Stamp Duty Rates

• 1% on the first €1 million of the property’s value
• 2% on the portion above €1 million
• 6% on the portion above €1.5 million

Example:
Purchase price = €1,300,000

• 1% on €1,000,000 = €10,000
• 2% on €300,000 = €6,000
  Total Stamp Duty = €16,000

Note: For residential property purposes, Revenue includes houses, apartments, holiday homes, and sites sold with building agreements.

2. Non-Residential Property Stamp Duty Rates

Applies to:

• Agricultural land
• Commercial buildings (shops, offices, warehouses)
• Development land without a residential building agreement

Rate: 7.5% of the total consideration

Example:
Purchase price of commercial building = €500,000
Stamp duty = €500,000 × 7.5% = €37,500

3. Stamp Duty on Shares and Marketable Securities

• 1% of the price paid for shares in an Irish-registered company
• Applies to both listed and unlisted shares, unless specific exemptions apply (e.g., certain corporate reorganisations)

How to Calculate Stamp Duty in Ireland

The stamp duty calculation is straightforward for single-use property, but can get complicated for:

• Mixed-use properties (part residential, part commercial)
• Transfers involving VAT (stamp duty is calculated on the VAT-inclusive price)
• Properties with multiple titles or contracts

Revenue provides an online stamp duty calculator, but solicitors often perform calculations as part of conveyancing.

Who Pays Stamp Duty in Ireland?

The purchaser (buyer) is legally responsible for paying stamp duty, not the seller. This applies whether you are:

• An individual
• A company
• A partnership

Solicitor involvement: In nearly all property transactions, your solicitor will prepare, calculate, and file your Stamp Duty return through Revenue’s eStamping system.

When and How to Pay Stamp Duty

• Deadline: File and pay stamp duty within 44 days of the instrument being executed (signed and dated).
• Method: All returns must be filed electronically using the Revenue Online Service (ROS).
• Certificate: Revenue issues an eStamping certificate after payment, which must be lodged with the Property Registration Authority (PRA) to register your ownership.

Stamp Duty Exemptions and Reliefs in Ireland

You may not need to pay stamp duty - or may qualify for a reduced amount - in certain circumstances:

Common exemptions include:

• Transfers between spouses or civil partners
• Transfers under divorce or dissolution settlements
• Charity exemption for property transferred to approved charities
• Certain corporate restructuring transactions

Common reliefs include:

• Young Trained Farmer Relief – 100% relief on qualifying farmland transfers to trained farmers under 35
• Consanguinity Relief – reduced rate for qualifying transfers of farmland between certain relatives
• Residential Development Refund Scheme – partial refund (up to 11/15ths) of non-residential stamp duty when land is developed for housing within a set timeframe
• Intra-group Relief – for transfers between companies in the same corporate group

Stamp Duty for First-Time Buyers

In Ireland, first-time buyers pay the same stamp duty rates as all other purchasers. There is no stamp duty exemption specifically for first-time buyers.

However, first-time buyers may still access:

• Help to Buy scheme – up to €30,000 income tax refund to put toward a deposit
• First Home Scheme – shared equity support for eligible buyers

These can offset the overall cost of purchasing, even though stamp duty still applies in full.

Penalties for Late Stamp Duty Payment

Missing the 44-day deadline can result in:

• Interest charged daily on the outstanding amount
• Fixed penalties for late filing
• Potential delays in registering ownership with the PRA

Common Mistakes When Paying Stamp Duty in Ireland

• Misclassifying property type (e.g., assuming agricultural land rate applies to development land)
• Forgetting to include VAT in the calculation base
• Failing to claim available reliefs within the filing period
• Assuming family transfers are automatically exempt without meeting criteria

Final Thoughts

Stamp duty in Ireland is an unavoidable cost for most property, land, and share transactions, but with the right knowledge, you can:

• Accurately calculate your liability
• Claim all applicable exemptions and reliefs
• Avoid penalties by meeting the filing deadline

Whether you’re buying your first home, expanding your business premises, or investing in Irish shares, working with an experienced solicitor or tax adviser will help ensure your stamp duty payment is correct and compliant with Revenue rules.