Ireland Corporate Tax Rates

SINGAPORE - Tax Exemption Company - Startup

Rates of Corporation Tax:
– 12.5% for trading companies
– 25 % for non-trading income


Starups and exemption
An exemption from corporation tax for the first three years:
– a company incorporated after 14th of October 2008 and has commences to trade
– an exemption from Corporation Tax and capital gains tax on the assets used for the trade
– not relief avaible where profits exceed € 60,000


tax relief restriction if; the trade was carried on by another person, the trade was carried on by associated company, trading company carrying on trading with: coal, petroleum, agriculture or another exporting activities.


Taxable Profits Year 2011
Profit not exceeding € 40,000 Full exemption
€ 40,000 to € 60,000 Marginal relief
> € 60, 000 Fully taxable

At the current rate of corporation tax i.e. 12.5% this equates to €320,000 of profits per year. Where corporation tax for the period is between €40,000 and €60,000, marginal relief will apply. The maximum amount of corporation tax relief is €40,000 per annum for 3 years.
In addition to the taxation issues you need to consider there are various other practical and legal matters which should be taken into account when setting up a company and on which you should seek professional advice.