- Irish VAT groups will now only include Irish establishments; foreign branches are excluded.
- Membership in an EU VAT group may affect Irish VAT treatment, making some intra-company services subject to Irish VAT.
- The changes align Ireland with recent EU court rulings and practices in other EU member states.
- Greatest impact will be on partially exempt businesses (e.g., banks, insurers, asset managers) due to potential new VAT costs on intra-entity services.
- New rules apply immediately for groups formed after 19 November 2025, with a transition period for existing groups until 31 December 2026.
Source: pwc.ie
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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