A Guide to Stamp Duty

 

What is Stamp Duty?

Stamp duty is a tax charged on written documents that you are required to pay when you transfer residential or non-residential property. Typically, this is paid through the solicitor handling the sale of the property.

What properties are eligible for Stamp Duty?

Both residential and non-residential properties are eligible for Stamp Duty.

  • Residential Property: Houses, apartments or a site purchased with an agreement (i.e. Full planning permission) to build a residential property on it.
  • Non-Residential Property: Non-residential land with no agreement to build a property on it, commercial property and business premises.

Stamp Duty Rates

For the average purchase, stamp duty is based on the property value. For purchases of 10 or more homes or duplexes, the rate increases to 10%. The table below shows the residential stamp duty rate for the average purchase (i.e. one home);

Property Value Rate
Up to €1,000,000 1%
Balance over €1,000,000 2%

A flat rate of 7.5% applies to all non-residential properties.

Exemptions & exceptions

There are a number of exemptions and exceptions to Stamp Duty, including;

  • Transfers occurring between spouses, civil partners or cohabitants.
  • The Local Authority Tenant Purchase Scheme: A maximum stamp duty amount of €100 applies on homes purchased under the Local Authority Tenant Purchase Scheme.
  • Farmland Transfers Between Family: Consanguinity relief reduces stamp duty to 1% and is available on qualifying farmland transfers between certain family members. Several conditions apply to this relief, click here for further information.
  • Farm Consolidation Relief: Farmers who buy and sell agricultural land to consolidate and improve the viability of their farms are eligible for a stamp duty rate of 1% on such transfers.

 

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