A VAT number is one of the first tax questions many founders ask after incorporating an Irish company. Some new companies must register for VAT quickly. Others should wait until they are closer to trading or Revenue can see a real commercial reason for registration.
This guide explains when a new Irish company needs a VAT number, how VAT registration works, what Revenue usually wants to understand, and how VAT fits into the wider company formation process.
What Is an Irish VAT Number?
A VAT number is the registration number used by a business that is registered for Value-Added Tax with Revenue. Once registered, the company may need to charge VAT on taxable supplies, file VAT returns, keep VAT records and account for VAT correctly.
For a company, VAT registration is separate from CRO incorporation. You first incorporate the company and receive a CRO number. Revenue guidance says a new company must have a CRO number before registering for tax.
Does Every New Irish Company Need a VAT Number?
No. A new company does not automatically need a VAT number just because it has been registered with the CRO. VAT depends on the activity, turnover, customer type, supplies made, and whether the company is established in the State.
Revenue says you generally must register for VAT if you are an accountable person. Revenue also notes that a person carrying out only exempt or non-taxable activities may not register for VAT, although special situations can still create VAT obligations.
Main VAT Registration Thresholds in Ireland
Revenue's current principal VAT thresholds include:
| Business activity | Principal threshold |
|---|---|
| Services only | €42,500 |
| Goods | €85,000 |
| Goods and services where 90% or more of turnover is goods | €85,000 |
| Certain goods made from zero-rated materials | €42,500 |
These thresholds are based on turnover, not profit. A business can also have VAT obligations in special cases, such as receiving services from abroad, acquiring goods from other EU Member States, or selling cross-border to EU consumers.
Should a New Company Register Voluntarily?
A company below the threshold may be able to elect to register for VAT in some situations, but voluntary registration should be a commercial decision, not just a badge for credibility.
Voluntary VAT registration may make sense if the company has mostly VAT-registered business customers, will buy equipment or services with input VAT, or expects to exceed the threshold soon. It may be less attractive for a business selling mostly to consumers because VAT can make prices look higher if the business cannot absorb it.
When Revenue May Question a VAT Application
Revenue may want to understand whether the company is genuinely trading or preparing to trade. A new company with no website, no contracts, no invoices, no business bank activity and no clear activity may find VAT registration slower.
Useful details can include the nature of the business, expected turnover, customer type, supplier details, contracts, invoices, a business website, business address, and evidence that the company is established and active.
How to Register a Company for VAT in Ireland
Revenue says a business can register for VAT online through ROS, and a tax agent can register a business through the Revenue Online Service. For a new company, the CRO number must be available first.
- Register the company with the CRO and receive the company number.
- Decide which tax registrations are needed, including Corporation Tax and VAT.
- Prepare business activity, turnover and director/company details.
- Register through ROS or through a tax agent.
- Respond to Revenue queries if they ask for more detail.
- Start issuing VAT invoices only once VAT registration is confirmed.
Our tax registration service can help with VAT registration after incorporation.
What Details Are Usually Needed?
The exact details depend on the company and the application route, but a new company should be ready with:
- Company name and CRO number.
- Registered office and business address details.
- Director and company contact details.
- Description of the business activity.
- Expected turnover and expected start date of trading.
- Customer type: consumers, Irish businesses, EU businesses, non-EU customers.
- Supplier details and whether services or goods are received from abroad.
- Website, contracts, invoices or other proof of intended trading where available.
- Accountant or tax agent details if an agent is handling registration.
Can You Invoice Before Receiving the VAT Number?
A company can trade before VAT registration in many cases, but it should not show an Irish VAT number or charge VAT as if it is VAT-registered before Revenue has confirmed registration. If registration is required, get accounting advice on how to handle invoices issued around the effective VAT registration date.
VAT Number for Online Businesses and EU Customers
Online businesses need extra care. If you sell to consumers in other EU countries, the One-Stop Shop and EU distance-sales rules may become relevant. If you sell services to VAT-registered EU businesses, VIES and reverse-charge treatment may matter.
If your business will trade internationally from the start, speak to an accountant before the first invoices are issued. VAT errors can be expensive to unwind later.
VAT Registration Checklist for New Irish Companies
- Incorporate the company and receive the CRO number.
- Confirm whether the company is established in Ireland for VAT registration purposes.
- Identify whether the business supplies goods, services or both.
- Check the relevant VAT threshold and expected turnover.
- Decide whether voluntary registration is commercially sensible.
- Prepare evidence of trading or intended trading.
- Prepare ROS or tax agent access.
- Submit the VAT registration application.
- Wait for confirmation before charging VAT on invoices.
- Set up bookkeeping, VAT invoice templates and VAT return reminders.
Where VAT Fits in the Company Setup Process
VAT registration usually comes after incorporation, not before. A clean sequence is: register the company, receive incorporation documents, handle RBO and tax registration planning, then register for VAT if required or commercially sensible.
If you have not formed the company yet, compare our company formation packages. If the company already exists and you need Revenue registration, start with tax registration.
Official Sources Used
This guide was checked against public guidance from Revenue's VAT registration guidance, Revenue's VAT thresholds, Revenue's VAT registration process and Revenue's new company tax registration guidance.