Tax on savings and investments in Ireland

Tax status

Deposit interestInterest before DIRT. Your bank takes 33 % and that settles it.EUR

Dividends from shares (gross)Before any tax withheld. Taxed as income on top of your salary.EUR

Dividends are from Irish companies (25 % DWT deducted)

Gains on shares soldSale price minus what you paid and the costs of buying and selling.EUR

Losses on shares soldThis year and any carried from earlier years. Fund losses do not count.EUR

Date of sale (2026 only)Budget 2027 cut CGT to 31 % for sales from 7 October 2026.

Gains on Irish or EU funds and ETFsIncluding the deemed disposal after 8 years. Taxed apart from shares.EUR

Your yearly salaryGross pay. It decides whether dividends are taxed at 20 % or 40 %.EUR

Total tax on your investments

€2,586

Effective rate 30.4 %

DIRT on deposit interest33 %−€165
Income tax on dividends40 %−€400
USC on dividends−€30
No PRSI: unearned income under €5,000 a year€1,000
Annual CGT exemption used-€1,270
Capital gains tax33 %−€1,231
Exit tax on funds and ETFs38 %−€760
Return after tax€5,914

An estimate under the rules for the chosen year, for typical cases. It is not tax advice: check the result with the tax office or an adviser before you file.

How it is calculated

Your bank deducts DIRT of 33 % from deposit interest. For most people that is the end of it.

Dividends are taxed as income at your marginal rate of 20 % or 40 %, plus USC. If your unearned income is €5,000 or more, PRSI applies too. Irish companies deduct 25 % withholding tax, which counts against the bill.

Gains on shares are taxed at 33 % after the annual exemption of €1,270 and any losses. From 7 October 2026 the rate is 31 %. You pay CGT by 15 December for sales up to 30 November, and by 31 January for December sales.

Irish and EU funds and ETFs pay exit tax instead of CGT: 41 % in 2025 and 38 % from 2026. There is no exemption and losses do not count. Every 8 years you pay on the gain even if you do not sell.

You are resident and domiciled in Ireland and invest as a private individual.
DIRT is the final tax on deposit interest. PRSI on deposit interest, which applies to some self-assessed taxpayers, is left out.
Dividends are added on top of your salary. Tax credits your salary leaves unused, such as the personal credit when you have no salary, come off the tax on them.
PRSI on dividends applies when they reach €5,000, at the blended rate for employees (Class K). Other unearned income such as rent also counts towards the €5,000 but is not added here.
Foreign withholding tax on dividends and its credit are not included.
For 2026 you choose whether you sold before or from 7 October 2026. If you sold in both periods, run the calculator twice.
Exit tax uses 41 % for 2025 and 38 % for 2026. Losses on funds cannot be offset, and the deemed disposal every 8 years is taxed the same way.

Questions

What is the CGT rate in Ireland in 2026?

It is 33 % for disposals up to 6 October 2026 and 31 % for disposals from 7 October 2026, after the change announced in Budget 2027. The annual exemption stays at €1,270.

What is the exit tax rate on ETFs?

For gains from 1 January 2026 it is 38 %, down from 41 %. It applies to Irish funds and equivalent EU funds, including the deemed disposal on each 8th anniversary.

Do I pay PRSI on investment income?

If you are an employee and your unearned income, such as dividends or rent, is €5,000 or more in a year, you pay PRSI on all of it. The blended rate is 4.125 % for 2025 and 4.2375 % for 2026.

Do I need to declare deposit interest?

DIRT is deducted at source, so most PAYE workers do not need to do anything. If you file Form 11, you still list the interest on it.

Sources

Now keep it on track Set the result as a budget in Spendee and see each month how much is left.

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