Revenue Tighten Grip on Foreign Companies

In a recent update to tax policy, the Revenue Commissioners have increased their focus on non-resident companies operating in the state. For overseas professional Contractors, the vast majority will now need to register their foreign company for payroll and corporate taxes from the day their activity starts in the Republic of Ireland. The payroll element comes about from the changes to revenue guidelines outlined in Tax Briefing IT/3/07. (Taxation requirements down to 1 day in some cases) From a Corporation Tax viewpoint, residency rules for foreign companies have also changed, this is outlined in Tax Note 2.2.3. (A company is resident if its managed and controlled in ROI from day 1) It is our view that Revenue will start to enforce these rules immediately as there has been a flood of recent foreign tax applications following Brexit. Revenue have indicated that registration waiting times continue to grow due to the increased volume. If you find yourself in this situation or have any concerns, please feel free to contact us at Icon Accounting for advice tailored to your specific scenario. Tel: +353 1 8077106 Email: info@iconaccounting.ie