Non-established traders

Foreign traders established outside the EU paying Irish VAT

You may reclaim Irish Value-Added Tax (VAT) on most business purchases in Ireland if you are:

• engaged in business outside the European Union (EU)
• and
• not engaged in business in the State.

The main conditions governing repayment are:      

• a person carrying on business outside of the EU should provide written proof of economic activity from their competent authority
• not all goods and services give rise to a claim. They need to be claims where tax would be deductible if the claimant's business was performed in Ireland.

VAT cannot be claimed on certain expenditure:

•  goods for supply within Ireland
• motor vehicles for hiring out for use within Ireland
• purchased goods and services which would be taxable if carried on in Ireland.

You have six months to submit your claim from the end of the calendar year in which the tax paid becomes chargeable. You should return the claim Form VAT 60OEC together with supporting documentation to the Unregistered VAT Repayments section.

The country of a claimant must allow similar concessions to Irish traders in respect of its own VAT equivalent taxes. This is a condition of the scheme.

An application will only be allowed on the following basis:

• that the country of the claimant has a similar scheme for refunding these taxes to Irish traders
• and
• must be accompanied with confirmation from the claimant’s tax authorities of reciprocal arrangements.

Ireland provides reciprocity where the country of the claimant has a similar scheme for refunding to claimants in Ireland.

Next: Zero rating of services to non-established traders