- Why is the VAT in a total not 23% of the total?
- A total of €123 holds €100 before VAT and €23 of VAT. So the VAT is 23/123 of any total at that rate. That is about 18.7% of the total, against 11.9% at 13.5% and 8.3% at 9%.
- Which VAT rate does building work in Ireland take?
- The calculator does not choose it. The rate follows what is supplied. Building work is at 13.5%, or at the goods’ rate, usually 23%, where the goods cost more than two thirds of the price before VAT. Solar panels supplied and installed on a private home have been at 0% since 1 May 2023. A heat pump supplied and installed has been at 9% since 1 January 2025, and a quote or an invoice for one can go out at 9%.
- Why can taking VAT out and adding it back miss by a cent?
- €80 including VAT at 13.5% is €70.48 before VAT and €9.52 of VAT. Adding 13.5% to €70.48 gives €9.51 of VAT and a total of €79.99. Each figure is rounded to the cent, so a round trip can end a cent away.
- Can a price be typed including VAT?
- No. The price is typed before VAT in Unit price, ex VAT on a quote line, Unit price ex VAT on an invoice line and Sold at, ex VAT for a part in the price book. The VAT is then added on the quote or invoice.
- Does the office work out VAT under the reverse charge?
- Not on the invoice. Under the reverse charge, a registered business’s invoice for work in Ireland to a customer whose Customer type is Principal contractor charges no VAT and prints no rate and no VAT figure. It prints “VAT on this supply to be accounted for by the Principal Contractor.” The principal contractor works the VAT out at the rate the work takes, which is the figure “VAT to add” gives.