Ireland is a state in the Atlantic Ocean, west of Great Britain. The Republic of Ireland is an independent country that occupies a leading position in world rankings (ease of doing business, ease of registering enterprises). If you are looking for a prestigious jurisdiction in Europe with minimal taxation, then the Republic of Ireland will be an excellent option for you.
Doing business in Ireland has many benefits, includes the following:
- stable, open economy;
- record production growth rates;
- government policy is aimed at creating a stable economic environment conducive to the inflow of investments;
- Ireland is a member of the European Union and the European Economic Area, which allows you to register a business in Ireland and easily trade in services and products throughout the EU;
- open a company in Ireland, as in a country that from year to year occupies a leading position in the ranking of countries favorable for starting a business
- developed infrastructure;
- the opportunity to use qualified English-speaking staff to conduct business in Ireland. The youngest population in Europe (mean age 34.4 years). Also, the Irish are world-renowned for their excellence in technology and service;
- according to Irish law, corporate tax is 12.5%;
- there is no foreign exchange control;
- for now, the Irish government is deliberately promoting their country as a place for intellectual property management. There is no state duty on the transfer of intellectual property;
- The Irish government has signed comprehensive double taxation agreements with 63 countries around the world. These agreements cover direct taxes (income tax), capital gains tax.
All these advantages attract businessmen who are planning to open a company in Ireland. It is because the country is one of the developed members of the European Union with favorable conditions for doing business.
The most common forms of legal entity in Ireland are Private Limited Company and Unlimited Company.
Registration of a Private Limited Company has the following key features:
- In agreement with the European Commission, Ireland has a single low tax rate on trade transactions – 12.5%, which refers to trade profits, except for transactions in oil, land, minerals, etc. It is possible to open a business in Ireland with a total tax burden – one of the lowest among other EU member states.
- Passive income (dividends, interest, rent) is taxed at 25%.
- A 25% tax is also levied on income in such industries as resource exploitation, working with licenses.
- The required minimum number of shareholders required to register a company in Ireland is one, the maximum is 99. Corporate shareholders are allowed.
- The smallest number of directors required in an Irish company: 1.
- One of the directors must be an EU citizen.
- Legal entities are prohibited from acting as directors.
- The firm’s office must be registered with a company registration office in Ireland and located in Ireland. The location of the office can be changed at any time after submitting the information to the company registration office in Ireland.
- Each firm must have a secretary, who can be a director.
- Meetings of Shareholders / Directors can be held anywhere in the world.
- Irish registered organizations file annual reports and details of shareholders and directors. Every company must have an auditor. Small organizations can submit abbreviated data without including the turnover rate.
- The company name must have the suffix Limited or Ltd. A limited liability company in Ireland may use any name other than Bank, Building Society, Windsor, Empire, Crown, Royal, Assurance, and inappropriate or offensive words are also prohibited.
An interesting option for business is the opportunity to register a partnership in Ireland. A partnership (Limited Partnership) is a type of company that does not pay taxes since they consist of two already registered companies (they can be registered both in a tax-free zone and in a low-tax zone). Partners pay taxes in the country of their incorporation.
Google is officially registered in Ireland, which saves millions in taxes. Data that Google has filed with US regulators indicates that the effective tax rate has dropped from 39% to 31%. By this, it saves about € 100 million a year in taxes thanks to its Irish business.