Dáil Éireann Debate, Tuesday - 20 January 2026
399. Deputy Ken O'Flynn asked the Tánaiste and Minister for Finance if Irish citizens returning to live in the State from abroad are entitled to an import exemption on construction tools brought with them; and the criteria and conditions that apply. [3795/26]
View answerI am informed by Revenue that there is no tax payable on the tools, if the tools are being brought into Ireland from another EU Member State. If the tools are being imported into the state from a non-EU country, then Customs Duty and VAT may be chargeable on the tools. However, there are two reliefs in EU law that may allow the import of tools by an individual into the EU/Ireland without Customs Duty or VAT being charged on them.
There is a relief from Customs Duty and VAT associated with ‘Transfer of Business’ relief which, in certain circumstances, can apply to tools of the trade. To qualify for this relief, a tradesperson must have ceased activity outside the EU and moved to Ireland to carry out a similar activity here. A new sole trader activity must be set up in Ireland. Proofs of registration both outside the EU and on return to Ireland will be required to avail of the relief.
If ‘Transfer of Business’ relief is applicable, the individual must complete a ‘Transfer of Business Activities’ (C-and-E-1078.pdf ) www.revenue.ie/en/customs/individuals/customs/c-and-e-1078.pdf form and present it to Revenue.
Proof of the transfer of business activities to the European Union (EU) is required, as follows:
• Proof from the Revenue Authorities in the non-EU country where the business was established, confirming that the person / business has ceased trading there.
• Proof of details of sole trader commencement in Ireland.
• Provide evidence that the goods in question have been used in the business for a period of at least 12 months e.g. sales invoices, receipts of purchase.
Please see attached link for further information on Transfer of Business. (www.revenue.ie/en/customs/individuals/transfer-business/index.aspx)
There is also another relief called Returned Goods Relief (RGR) which provides relief from Customs Duty and VAT when goods are re-imported into an EU Member State from a non-EU country. This relief is applicable where the tools being returned to Ireland have been exported from Ireland in the first place by the tradesperson. The following proofs are required to be eligible to claim RGR on personal tools:
• Proof that the tools were exported from Ireland in the first instance i.e. an export declaration.
• Proof that the export from Ireland and re-importation into Ireland is happening within a 3 year period.
• Proof that the person bringing the tools back into Ireland is the same person who brought them out of Ireland is required to claim relief from VAT.
• Proof that the tools are being returned in the same state that they were originally in when brought out of the EU, i.e. the goods are unaltered.
Further information on both these reliefs is available on the Revenue website www.revenue.ie.
