Dáil Éireann Debate, Wednesday - 1 July 2026
131. Deputy Ken O'Flynn asked the Tánaiste and Minister for Finance if his Department has engaged directly with the ETF industry on how the emerging proposals for personal investment accounts (details supplied) will operate in the context of the obligations of the deemed disposal rule applying to ETFs. [49970/26]
View answerAn ETF is an investment fund that is traded on a regulated stock exchange. There is no separate taxation regime specifically for ETFs, and the applicable regime is based on the ETF’s domicile. In general investors are required to account for tax due on a self-assessed basis where units of an investment fund are held on a recognised clearing house system such as a stock exchange.
As the Deputy is aware, at the first annual Savings and Investment Forum on 31 March, I announced the development of a new investment account that aims to reduce the complexities related to retail investment taxation and which will allow individuals to grow their savings more efficiently. At that event, and subsequently, I have emphasised the intention that account providers would be required to administer the tax to help remove complexity for investors. I would note that the proposed investment account will not be an investment product, but rather a framework to facilitate investment in a range of products. In that context, it is intended that it will be the providers of the account, rather than the investment funds, that will be required to administer the tax for investors.
Department officials are continuing to engage with experts and a broad range of stakeholders as work is progressing on the development of the account, taking on board the range of ideas on the design of an effective investment account in Ireland that best fits the Irish economy and the needs of Irish households. The investment account will be a key aspect of the roadmap for the taxation of retail investment, setting out an approach to simplify and adapt the tax framework to further support retail investment while retaining necessary and important anti-avoidance protections, in a proportionate manner.
