There are many advantages to doing business in Ireland, including an attractive and stable corporate tax regime and skilled workforce. The most common method for carrying on business in Ireland is through the incorporation of a company. In order to do this, you must apply to the Companies Registration Office (CRO) with the signatures of the first director(s), first secretary and the first shareholder(s). Usually these applications are processed within three to five days of receipt. Before such an application is submitted, you need to make
the following considerations:
1. What type of company will this be?
Private or public, limited or unlimited, If limited, limited by shares or by guarantee.
2. There is a requirement in Ireland that every company in Ireland must have one director who is resident in a member state of the European Economic Area (EEA). There are exemptions to this requirement if the company purchases a two year surety bond to secure the
company’s compliance with company law and tax law. In the event that the UK leaves the EU after 29th March 2019, a UK director will no longer be considered an EEA resident director.
3. A company incorporated in Ireland will automatically be resident for tax purposes in Ireland by virtue of its incorporation, unless it is regarded as resident in a country with which Ireland has a double tax treaty. Where a company is seeking to achieve and maintain Irish tax residency and avoid being tax resident in another country or having a taxable presence there, it is recommended that the company is managed and controlled in Ireland. This will involve the board of directors physically attending meetings in Ireland.
Incorporating a company in Ireland is a relatively easy process. Once you are aware of the above points that need consideration then you know the best decisions are made from the outset. It is most important to choose the correct company type to meet the needs of the business and make informed decisions relating to the formation of the company to ensure compliance and sound governance for its future. If you have any queries, please consult with us before submitting your application.