Local News
| Residential Stamp Duty Rates in Ireland |
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Stamp duty is a tax levied by the government on the purchase of property in Ireland. Technically, it is a tax based on the conveyance document which transfer the property to you. It can be subdivided into categories such as first time buyers, owner occupiers or investors and rates change depending on whether the property is land, a new home, second hand or on the size of the property itself. Normally, your Solicitor will advise you of the relevant amount you will have to pay which they will organise for you. However, you should factor stamp duty into your budget before bidding on a property in order to ensure you have sufficient funds available for the transaction.
Stamp duty for residential properties are calculated as follows:
Therefore should you be fortunate enough to be purchasing a property for €1.2 million, the first €125,000 is discounted, leaving a total of €1,075,000 liable for stamp duty. Of this €875,000 would be taxed at 7% and the remaining €200,000 taxed at 9%.
For first time buyers (those who have not owned a home before in this country or any other country), they are exempt from stamp duty regardless of the size or price of the house, provided they will be using it as their principal place of residence and that it will not be rented out for the next 5 years.
For second time buyers who are owner occupiers of the property they are purchasing, they will be exempt if it is a new home which measures less than 125 sq mts (1,346 sq ft). If the property is larger than 125sq. mts. stamp duty is charged at the greater of either the site cost or 25% of the total cost (site cost + building costs of the property). If the property is a second hand property, stamp duty rates are charged as above
For investors, second hand houses are levied at the standard rates above. For new homes, If the property is larger than 125sq. mts. stamp duty is charged at the greater of either the site cost or 25% of the total cost (site cost + building costs of the property). |


