By Olivia Fletcher | Updated on Oct 06, 2026 at 01:40 PM
Ireland’s new retail savings and investment account will have a €50,000 ($56,318) tax-free threshold, Finance Minister Simon Harris announced in the budget Tuesday.
The account will have a flat tax of 1% on the value of the account above the threshold, and a maximum contribution limit of €12,000 per year with no minimum contribution, Harris said.
The deemed disposal rule, the 38% rate of tax currently charged on investment fund products, won’t be applied to the state-backed accounts, Harris added.
It’s part of the government’s plan to help increase capital-market participation in Ireland, and more broadly across the European Union. Irish households hold more of their deposits in lower interest account types than the euro-area average.
The EU is aiming to bolster its capital markets to better finance future needs in areas like defense and pensions, as well as compete better with the US and China. However, plans for a wider capital markets union have been mired in years of sparring between member states over how it would work.
“The account will open on 1 July 2027 and will be legislated for in the Finance Bill,” Harris added.