What is Stamp Duty?

Gerard sells a house that he owns in Australia to Joan for €200,000.

The instrument that transfers the house is executed in Ireland.

The instrument is executed in Ireland and so Stamp Duty is chargeable.

However, as the property is in Australia Joan can claim an exemption from Stamp Duty.

John buys a site in Galway.

The seller lives in France.

The seller executes the instrument that transfers the site to John in France.

John must pay Stamp Duty because the instrument relates to property in Ireland.

Tom buys shares in an Irish company.

The seller lives in Spain.

The seller executes the instrument that transfers the shares to Tom in Spain.

Tom must pay Stamp Duty because the instrument relates to property in Ireland, shares in an Irish company.

XYZ Ltd, an Irish company, buys land in Germany from Hans.

Instead of paying money to Hans for the land, XYZ Ltd issues shares to Hans.

Hans executes the instrument that transfers the land to XYZ Ltd in Germany.

XYZ Ltd must pay Stamp Duty because something was done in Ireland. XYZ Ltd issued the shares in Ireland.

In addition, Stamp Duty is chargeable because the instrument relates to property in Ireland (the shares in XYZ Ltd).

QRS Ltd, an Irish company, buys land in Germany for €300,000 from Helga.

The instrument that transfers the land is executed in Germany.

In this example QRS Ltd pays cash (in contrast to Example 5). The provision of cash is not regarded as relating to something done or to be done in Ireland. Therefore, Stamp Duty is not chargeable on the instrument.

Declan emigrated to Canada in 2005 and bought a house there.

In 2018 he sold the house for €300,000.

The instrument transferring the house is executed in Canada. The only connection with Ireland is that Declan is Irish.

Stamp Duty is not chargeable on the instrument as nothing was done in Ireland.