FS Tax Newsletter

This edition highlights pivotal tax and regulatory developments shaping the financial landscape in Ireland and the EU. On 5 November 2024, EU Finance Ministers agreed on the VAT in the Digital Age (VIDA) proposal, introducing mandatory e-invoicing, updated VAT rules for the platform economy, and simplified VAT registration to modernise cross-border trade.

Ireland’s Finance Bill 2024, implementing Budget 2025 measures, introduces key changes impacting foreign dividends, OECD Pillar Two, VAT for fund management, and lease taxation, with significant implications for cross-border transactions and the financial sector. Additionally, a second feedback statement on Ireland’s proposed foreign dividend participation exemption offers insights into upcoming legislative frameworks. Updates to the Ireland-UK Double Tax Treaty under the MLI include a new "tie-breaker" rule for determining dual-residence tax status, while the EU’s FASTER Directive aims to streamline withholding tax processes, with implementation beginning in 2030.

Finally, Budget 2025 highlights include increased funding for affordable housing, higher personal tax credits, and adjustments to USC and carbon taxes, alongside key insights from the Tax Strategy Group Papers on Ireland’s economic outlook.

Stay informed with our expert analysis of these transformative changes and their impact on the financial sector.