Starting a business in Ireland? Understanding Value Added Tax (VAT) is essential — not only to stay compliant with Irish Revenue, but also to avoid costly mistakes. In this guide, we’ll walk you through everything Irish startups need to know about VAT, including registration thresholds, rates, filing responsibilities, and common pitfalls. What Is VAT? VAT (Value Added Tax) is a consumption tax applied to the sale of goods and services in Ireland. It’s typically included in the final price paid by customers and is collected by businesses on behalf of Revenue. If you're running a business, you may need to register for VAT, charge VAT on your sales, and file VAT returns — depending on your turnover and activities.