Taxes Consolidation Act 1997 section 172D

Exemption from dividend withholding tax for certain non-resident persons

Section 172D provides that certain non-resident persons, known as qualifying non-resident persons, may receive distributions from Irish resident companies without deduction of dividend withholding tax (DWT), provided they meet specified criteria and supply the required declarations and certifications.

• A non-resident individual qualifies for exemption from DWT if they are neither resident nor ordinarily resident in Ireland, are tax-resident in an EU Member State or a country with which Ireland has a double taxation treaty, and have made the appropriate declaration with a current certificate of non-residency.
• A non-resident company qualifies if it is tax-resident in an EU Member State or tax treaty country and meets one of three conditions: it is not controlled by Irish residents; it is ultimately controlled by persons tax-resident in a relevant territory who are not themselves controlled by persons outside that territory; or its shares (or those of its parent company or joint parent companies) are substantially and regularly traded on a recognised stock exchange.
• Since 3 April 2010, non-resident companies need only provide a self-certification declaration containing prescribed information to the dividend-paying company or intermediary, rather than a tax residency or auditor's certificate; this declaration is valid for up to six years.
• The DWT exemption does not apply to property income dividends paid by a Real Estate Investment Trust (REIT), even where the recipient is an otherwise qualifying non-resident person.