Real Estate Investment Trusts in Ireland
Real Estate Investment Trusts in Ireland
Updated on Friday 09th September 2016 Rate this article
based on 1 reviews.
based on 1 reviews.

Registration of a REIT in Ireland
When forming a new company established as a REIT in Ireland, the investors will have to present a set of documents at the Revenue Commissioners. The main requirements the investors should meet are the following:
• the company must be registered as an Irish resident legal entity;
• it was incorporated following the procedures available under the Companies Act;
• it is listed on the local stock exchange;
• it is not a close company (which refers to the number of investors).
Taxation of an Irish REIT
Companies which meet all the criteria imposed by the local authorities will be exempted on the corporation tax applicable to the rental profits or the property gains. However, Ireland applies to this vehicle the withholding tax on dividends, imposed at the rate of 20%. The regulations in this sense specify an exemption from the payment of the withholding tax on dividends available for professional investors representing pension funds and several investment undertakings, on which our team of attorneys in Ireland can provide more details.
The distributions from a REIT will be taxed with a 25% corporate tax, as well as for the disposal of shares, which is applied at the rate of 33%.
It is important to know that the Irish shareholders are also liable to taxation in a REIT. If the shareholders are tax residents in a foreign country, they can benefit from the stipulations of the double taxation treaties signed with that particular state regarding the taxation of dividends.
Businessmen interested in receiving further details on the real estate investment trusts in Ireland can address to our Irish law firm.