Taxation Systems Comparison in 2023

Country Ireland Northern Ireland Scotland Wales UK
Summary at a Glance
Corporate tax rate for trading income? 12.5% 12.5% 19% 19% 19%
Corporate tax rate for non-trading income? 25% 12.5% 19% 19% 19%
Effective Average Tax rate (EATR)? 11.3% 12% 19.4% 19.4% 19.4%
Withholding taxes payable on dividends distributed by a resident company to a non-resident company? 20% 0% 0% 0% 0%
VAT rate? 23% 20% 20% 20% 20%
Corporate taxation
Annual filing of financial statements required? Yes Yes Yes Yes Yes
Corporate tax rate? 12.5% 12.5% 19% 19% 19%
Alternative minimum tax? No No No No No
Effective Average Tax rate (EATR)? 11.3% 12% 19.4% 19.4% 19.4%
Taxation of dividends received by the entity? Yes No No No No
Taxation on trading income? Yes Yes Yes Yes Yes
Capital gains taxation? 33% No No No No
Link to main tax incentives/exemptions? Link Link Link Link Link
Withholding taxation
On dividends? 20% 0% 0% 0% 0%
On interest paid? 20% 0%-20% 20% 20% 20%
On royalties paid? 20% 0%-20% 20% 20% 20%
Technical service fees? 0% 0% 0% 0% 0%
Branch remittance tax? 0% 0% 0% 0% 0%
Other Corporation Taxes
Capital duty? 0% 0% 0% 0% 0%
Payroll taxes? 0% 0% 0% 0% 0%
Social security contributions? 10.75% 13.8% 9%-13.8% 9%-13.8% 9%-13.8%
Stamp duty land tax? 1%-6% 0%-12% 0%-12% 0%-12% 0%-12%
Is land transaction tax payable to local government? Yes No Yes Yes Yes
Landfill tax? US$97.6 / tonne US$3.6 / tonne for less pollutiong material, US$116 / tonne otherwise US$3.6 / tonne for less pollutiong material, US$116 / tonne otherwise US$3.6 / tonne for less pollutiong material, US$116 / tonne otherwise US$3.6 / tonne for less pollutiong material, US$116 / tonne otherwise
Is landfill tax payable to the local government? Yes No Yes Yes Yes
Anti-avoidance taxation rules
Thin capitalization requirement? No Yes Yes Yes Yes
Specific anti-avoidance rules? Yes Yes Yes Yes Yes
Compliance requirements
Tax year usually follows calendar year? Yes No No No No
Link re penalties for late tax filings? Link Link Link Link Link
Personal taxation
Taxable income? > US$14,011 > US$15,414 >US$40,974 > US$15,414 >US$43,576
Link to income tax rates? Link Link Link Link Link
Capital gains taxation? 33% 18% / 28% 10%-20% 10%-20% 10%-20%
Deductions and allowances? Yes Yes Yes Yes Yes
Net wealth/net worth taxes? 0% 0% 0% 0% 0%
Inheritance taxes? 33% 40% after US$422,734 40% after US$422,734 40% after US$422,734 40% after US$422,734
Value added tax
VAT Rates? 23% 20% 20% 20% 20%
VAT Registration required? Yes Yes Yes Yes Yes
Link to tax treaties? 74 148 148 148 148
Link to tax authority website? Office of the Revenue Commissioners HM Revenue & Customs Revenue Scotland Welsh Revenue Authority HM Revenue & Customs

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