Capital Gains Tax (CGT): Who Qualifies and What You Get
Learn how Capital Gains Tax works in Ireland and how to manage your investment profits on shares and cryptocurrency.
Capital Gains Tax is a tax you pay when you sell an asset that has increased in value. It provides the legal framework for how you must report profits made from investments.
Who it's for
This applies to anyone who makes a profit from selling assets such as shares or cryptocurrency.
What you get
By following this framework, you ensure your investment profits are reported legally to the relevant authorities.
What it costs you
You will pay a tax rate of 33% on your gains. However, you have an annual exemption of €1,270, meaning you do not pay tax on the first €1,270 of your gains each year.
The catch to know
The €1,270 exemption is applied to you as an individual per year; it is not a deduction you can take for every single trade you make.
How to apply
- Track all your purchase prices and sale prices for your assets.
- Calculate your total gains and losses for the year.
- Subtract your annual exemption from your total gains.
- File your report and pay any remaining tax owed through the official revenue portal.