Stamp duty
Tax on buying property. For homes it is 1% up to €1 million, 2% from €1 million to €1.5 million and 6% above that, charged on the price excluding VAT.
What it means
Stamp duty is a tax on the document that transfers the property to you. Residential rates have been 1% on the first €1 million, 2% on the portion between €1 million and €1.5 million, and 6% above €1.5 million since 2 October 2024. First-time buyers pay the same rates as everyone else.
On a new home the price usually includes VAT, but stamp duty is charged on the VAT-exclusive amount. Divide the price by 1.135 for a house at 13.5% VAT, or by 1.09 for a qualifying apartment at 9%.
Your solicitor normally files the return and pays the duty, and you give them the amount along with legal fees.
Formula
Example
A €400,000 second-hand home costs €4,000 in stamp duty. A new house at €400,000 including 13.5% VAT is €352,422.90 before VAT, so stamp duty is €3,524.23.