VATLive > Blog > European News > Ireland raises VAT 2% to 23% from 1 January 2012 - Avalara

Ireland raises VAT 2% to 23% from 1 January 2012


Ireland raises VAT 2% to 23% from 1 January 2012

Ireland is to increase its standard VAT rate from 21% to 23% from January 2012.  The rise was announced in this week’s budget.

This increase is an acceleration of plans to raise the VAT rate to 23% by 2014.  This original plan was announced in 2010 to assure financial backers of Irelands intent to restore balance to its fiscal position.  The target is to reduce the GDP deficit from over to 10% to below 3% by 2015.

The increase was originally leaked via the German Parliament last month.  The Irish draft budget was circulated to all other 26-member states of the European Union as part of the Irish bail out conditions with the European Union, International Monetary Fund and European Central Bank.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.