What is the Irish trading corporation tax rate?

The standard rate for trading income is 12.5%. This applies to profits from active trade or business carried on in Ireland, including manufacturing, services, and technology.

What income is taxed at 25%?

Non-trading (passive) income is taxed at 25%. This includes investment income, rental income from Irish land, income from foreign trades not carried on in Ireland, and certain foreign dividends.

What is the OECD Pillar Two minimum tax?

Pillar Two is a global minimum tax of 15% on profits of multinational groups with annual consolidated revenue over €750 million. Ireland enacted the Qualified Domestic Top-up Tax (QDTT) and the Income Inclusion Rule (IIR) effective 1 January 2024. If a group's effective rate falls below 15%, a top-up tax brings it to that floor.

Does Ireland still have the 12.5% rate after Pillar Two?

Yes. The 12.5% rate remains unchanged for companies below the Pillar Two threshold and for the base layer of tax for large groups. Pillar Two only adds a top-up where the effective rate is below 15% — it does not replace the existing rates.

Is this calculator for resident companies only?

The dual-rate regime applies to Irish-resident companies and to non-resident companies with an Irish branch or agency. This tool covers the basic liability; branch attribution rules may require separate analysis.

Are there surcharges on undistributed income?

Irish close companies (controlled by five or fewer participators) face a 20% surcharge on undistributed investment and estate income, and a 15% surcharge on undistributed professional service income. These surcharges are not modeled here.

Ireland Corporate Tax Calculator

Name: Ireland Corporate Tax Calculator
Availability: InStock
Author: Nham Vu

Enter your trading and non-trading income to calculate Irish corporation tax at 12.5% and 25%, with Pillar Two top-up for groups over €750 million.

Company Income Details

Trading Income (EUR) — taxed at 12.5%

€

Non-Trading Income (EUR) — taxed at 25%

€

Large Group — OECD Pillar Two applies Tick if consolidated group revenue exceeds €750 million. A 15% minimum effective rate top-up will be shown if applicable.

Enter income figures and click Calculate Tax to see results.

Total Tax Payable

€0

Effective rate: 0%

Tax Breakdown by Rate

Trading Income (12.5%)
Trading Income: €0
Tax at 12.5%: €0
Non-Trading Income (25%)
Non-Trading Income: €0
Tax at 25%: €0
Pillar Two Top-Up (to 15%)
Top-Up Tax: €0
Total Income: €0
Total Tax Payable: €0
After-Tax Profit: €0
Effective Tax Rate: 0%

This calculator models the standard dual-rate Irish corporation tax only. Close company surcharges, R&D credits, and holding company participation exemptions are not included.

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Summary

Enter your trading and non-trading income to calculate Irish corporation tax at 12.5% and 25%, with Pillar Two top-up for groups over €750 million.

How it works

Enter your company's trading (active business) income for the accounting period.
Enter any non-trading income — investment gains, rental income, foreign dividends, or interest.
Toggle "Large Group (Pillar Two)" if consolidated group revenue exceeds €750 million.
The calculator applies 12.5% to trading income and 25% to non-trading income.
If Pillar Two applies and the effective rate is below 15%, a top-up amount is shown.
Tax payable, after-tax profit, and effective rate are displayed instantly.

Use cases

Estimate quarterly preliminary tax instalments for an Irish-resident company.
Model the combined tax burden when a company has both trading and passive income streams.
Assess Pillar Two top-up exposure for multinationals operating through Irish holding structures.
Compare the Irish effective rate against other EU jurisdictions for investment decisions.
Prepare tax provisions for financial statements under FRS 102 or IFRS.
Plan profit extraction timing between trading and non-trading company activities.
Quickly verify Revenue Commissioners tax assessments for single-period simple cases.

Frequently Asked Questions

Last updated: 2026-07-01 · Reviewed by Nham Vu