Do I need to register for VAT as a sole trader?


As a Sole Trader you may need to register for VAT. It depends on your level of sales within a 12-month period and if you are selling physical goods or services.

The VAT registration limits are as follows:

  • Services – €37,500 in sales within a 12-month rolling period
  • Goods – €75,000 in sales within a 12-month rolling period

If you breach these limits, or think you are close to breaching them, you will need to register for VAT on

You then need to file VAT returns (normally every 2 months) and pay any VAT owed over to Revenue – so it’s best to keep an eye on cash flow and ensure you have this cash to pay.

You will also need to register for employer taxes if you plan on employing staff.

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Mark Sweetman, ACA

Mark Sweetman, ACA

As a Chartered Accountant I've built my experience working within the SaaS and digital technology industries, growing early-stage businesses from the inside. I help digital entrepreneurs understand their companies and ensure they have all the tools they require to succeed and thrive. I love adopting new tech solutions and making use of these to increase efficiency within our clients' businesses.