Company registration in Ireland

The Irish Republic occupies a large part of the island located near England and Wales. Irish law is based on the English Common Law system. The Republic is an ideal place for high-value production of pharmaceuticals, biotechnology, medical equipment, consumer and industrial goods. Ireland has become the country that has caught the global trend in time and managed to create the most favorable conditions for IT companies.

Types and features of the companies in Ireland:

1.Limited Liability Company (LTD):

  • The amount of the share capital is 100 EUR and it is not necessary to cover it;
  • Only registered shares that are not subject to voluntary alienation are allowed;
  • LTD must have at least 1 director, only physical person who is a resident of the EU is allowed;
  • At least 1 shareholder (individuals/legal entities), there are no residency requirements;
  • It is mandatory to have a Company’s Secretary who must be a resident of Ireland;
  • Irish legal address is mandatory;
  • Information about the directors and shareholders is available publicly;
  • Companies should maintain a register of beneficiaries and keep it at the company’s registered office without making it publicly available;
  • LTD submits statistical and financial reports annually. The first statistical report is submitted 6 months after the company’s registration. Within 9 months after the end of the tax period (12 months) companies are required to file a tax return;
  • VAT returns are filed quarterly.

2. Limited Liability Partnership (LP):

  • LP does not have an initial share capital;
  • Founders – at least two individuals or legal entities of any residency who are the partners. At least one general partner and one limited partner are needed. The general partner is fully responsible for the company’s obligations, and the limited partner is only liable in proportion to his or her shares;
  • The director is usually performed by the general partner;
    LP is founded on a Partnership agreement (it is obligatory to register in the Register of Companies of Ireland);
  • Secretary is not mandatory;
    All Irish partnerships must have a registered office in Ireland;
  • Partnerships are exempt from annual financial reporting and audit;
  • Non-resident partners are not entitled to a certificate of tax residency in Ireland. They are also not subject to double taxation agreements;
  • The deadline for obtaining an LP tax number is about a month after the government authorities receive a request.

Irish tax rates:

  • The Company’s profits from trading activities in Ireland are taxed at 12.5%;
  • Profit from development of deposits, dividend income, interest income, income from trading activities from sources abroad, as well as income not related to trading activities are taxed at the rate of 25%;
  • The standard VAT rate in Ireland is 23%, lowered – 13.5%, 9%, as well as “zero” rate;
  • Capital gains tax -33%;
  • Personal income tax: 20% for income up to 32 800 EUR and 41% for excess.

You can open a bank account in Ireland, provided that the company conducts real business, has related activity to the country or has representative office in Ireland. Bank account opening will require the personal presence of the company’s director.

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