VAT on a Self-Build in Ireland — 13.5% Labour, 23% Materials, and the Sole Trader Route
On this page
VAT on self-build: 13.5% on labour, 23% on materials (non-VAT-registered). Register as a sole trader to reclaim.
VAT on a self-build in Ireland: 13.5% on labour, 23% on materials (for non-VAT-registered self-builders). For a €500k build, that's €30k–€90k. Register as a sole trader with Revenue under the VAT 13B scheme to reclaim VAT on materials and a portion of VAT on labour. The registration is free and takes about 10 working days. Most Irish self-builders cannot recover VAT in full. The 13B scheme recovers 40–60% of total VAT paid. Talk to your accountant before you register. The right structure depends on your tax band, your income, and whether you intend to claim the VAT refund.
When this matters most
You're at the pre-construction phase and need to decide on VAT registration.
When this doesn't apply
You've already registered, or you're using a main contractor who is the VAT-registered entity.
Sources
Revenue Commissioners, VAT on residential property. https://www.revenue.ie/
Frequently asked questions
How much is VAT on a self-build in Ireland?
13.5% on labour, 23% on materials (for non-VAT-registered self-builders). For a €500k build: €30k–€90k. Register as a sole trader to reclaim via the VAT 13B scheme.
What is the VAT 13B scheme?
A Revenue scheme that lets a sole-trader self-builder reclaim VAT on materials and a portion of VAT on labour. Most Irish self-builders cannot recover VAT in full; the 13B scheme recovers 40–60%.
Should I register for VAT as a sole trader?
Most Irish self-builders do, to reclaim VAT under the 13B scheme. Registration is free and takes about 10 working days. Talk to your accountant first.
When this matters most
You're at the pre-construction phase and need to decide on VAT registration.
When this doesn't apply
You've already registered, or you're using a main contractor who is the VAT-registered entity.
Where to go next
Next decision
The next step in your build sequence.
- Contingency Budget for a Self-Build in Ireland — Why 10% Is the Minimum and 15% Is Safer →
- First Home Scheme in Ireland — Equity Share for New Builds, Eligibility, and the Catch →
- Self-Build Mortgage Step by Step in Ireland — Application to Final Drawdown →
- Stage Payment Triggers in a Self-Build — What Each Drawdown Requires →
Branch into
Adjacent decisions at the same stage.
- Help-to-Build in Ireland 2026 — €30,000 Toward the Deposit, Income Caps, and How to Apply →
- Mortgage Interest During Build in Ireland — How It Works, What It Costs, and the Trap →
- Quantity Surveyor for a Self-Build in Ireland — When to Hire One and What It Saves →
- Self-Build Cashflow in Ireland — How the Money Flows Month by Month →
Watch out for
Common mistakes, hidden costs, gotchas.
- Grants for Self-Build in Ireland 2026 — SEAI, Help-to-Build, and the Eligibility Trap →
- Hidden Costs of a Self-Build in Ireland — The 12 That Catch First-Timers →
- Mortgage Interest During Build in Ireland — How It Works, What It Costs, and the Trap →
- Self-Build Cost per m² in Ireland 2026 — Total Project Cost and the Line Items →
- Single-Storey vs Two-Storey Cost in Ireland — Which Is Cheaper, Which Is More Cost-Efficient →
Compare with
Alternative approaches worth knowing.