Taxes Consolidation Act 1997 section 628A

Deferral of exit tax

Section 628A provides for the deferred payment of exit tax by a company that migrates its tax residence from Ireland to another EU or EEA state, either in six equal annual instalments or on the disposal of the migrated assets.

• A migrating company may elect to pay exit tax in six equal yearly instalments beginning on the specified date, or within 60 days of each disposal of migrated assets, with any unpaid tax falling due on the tenth anniversary of the migration date.
• The election must be made on the company's final Irish tax return, filed electronically, and the company must deliver annual electronic statements to Revenue confirming its EU/EEA residence status and, where relevant, providing computations of tax and interest on asset disposals.
• If a liquidator is appointed, the company ceases to be EU/EEA resident, or it fails to pay tax when due, all outstanding exit tax and accrued interest become immediately payable, and Revenue may require security where they consider there is a risk to collection.
• Where the migrating company fails to pay, the Collector-General may serve a notice making another group company or a controlling director liable for the unpaid tax, and all normal collection and recovery provisions for corporation tax and capital gains tax apply.