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Designated Activity CompanyImport / Export & Trading

Designated Activity Company (DAC) in Ireland — Import / Export & Trading Formation Guide

Choose a jurisdiction with strong logistics infrastructure, favorable customs agreements, and access to major trade blocs (like the EU or US). Consider VAT deferral schemes and free trade zones.

Last verified: June 12, 2026

Corporate Tax

12.5%

State Tax

0.0%

Formation Cost

$54

Annual Fee

$22

Forming a Designated Activity Company (DAC) in Ireland as a Import / Export & Trading means a total tax burden of 12.5% and an official formation cost of $54. There is no minimum capital requirement. Standard formation takes 5-10 business days, or 2-3 business days expedited. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.

First-year total cost

$2,976

Ongoing (per year)

$622

Detailed cost calculator →

Why Designated Activity Company (DAC) for Import / Export & Trading?

A business model focused on sourcing goods from one country and selling them in another. Success relies heavily on supply chain efficiency, customs compliance, and navigating international trade tariffs.

Ideal for

  • Physical product brands
  • Wholesalers and distributors
  • Dropshippers scaling to bulk inventory
  • Cross-border B2B traders

Challenges to watch

  • Complex customs and import duties
  • High shipping and logistics costs
  • Cash flow management due to inventory delays
  • Regulatory compliance across multiple jurisdictions

Key decision criteria

  • Proximity to major ports or logistics hubs
  • Availability of Free Trade Zones (FTZs)
  • VAT and sales tax registration requirements (e.g., EORI in the EU)
  • Double taxation treaties between sourcing and selling countries

Designated Activity Company (DAC) formation requirements

Minimum capital

None

Standard timeline

5-10 business days

Expedited timeline

2-3 business days

Local director

Required

Registered office

Virtual office allowed

Notarization

Not required

If the company does not have at least one director resident in the European Economic Area (EEA), it must secure a Section 137 Non-Resident Director Bond (approx. €1,600 - €2,000 for two years) covering €25,000.

See the full guide for all documents and requirements →

Estimated breakdown (based on avg. $1,000,000 revenue)

Gross Revenue$1,000,000
Corporate Tax-$125,000
Formation Cost-$54
Annual Fee-$22
Net Profit$874,924

Simulate with your own revenue →

VAT / Sales Tax

Standard rate 23%. Registration threshold: 75,000 EUR. Non-resident providers of digital services to Irish consumers must register for VAT under the OSS scheme or locally, charging the standard 23% rate.

Banking & payments for Import / Export & Trading

Opening a traditional bank account in Ireland can be challenging and time-consuming for non-resident directors due to strict Anti-Money Laundering (AML) regulations and the requirement for in-person branch meetings. However, digital alternatives like Revolut Business, Wise, and Fire offer fully remote onboarding and are highly recommended for non-resident founders.

Supported payment gateways

StripePayPalSquareAdyenWorldpayGoCardless

Remote-friendly accounts

  • Revolut Business

    Highly popular digital bank in Ireland offering multi-currency accounts, virtual cards, and fully remote onboarding for DACs.

  • Wise Business

    Excellent for international startups needing local EUR, GBP, and USD account details with low FX fees. Fully remote setup.

  • Fire

    An Irish-based digital payment institution providing dual EUR and GBP accounts with real-time notifications and remote opening.

Ireland incentives & advantages

R&D Tax Credit

35% tax credit on qualifying R&D expenditure (increased from 30% in 2024). First-year payment threshold is €87,500.

Start-Up Corporation Tax Relief (Section 486C)

Full relief on corporation tax up to €40,000 per year, linked to employer's PRSI contributions. Marginal relief applies for liabilities between €40,000 and €60,000.

Designated Activity Company (DAC) formation steps

1

Choose a unique company name and verify its availability with the Companies Registration Office (CRO).

2

Draft the Company Constitution, specifically the Memorandum of Association detailing the exact objects (activities) of the DAC.

3

Appoint at least two directors and a company secretary (one of the directors can serve as the secretary).

4

Secure a Section 137 Non-Resident Director Bond if none of the appointed directors reside in the EEA.

5

Establish a registered physical office address in Ireland (virtual offices with physical mail forwarding are permitted).

6

Submit Form A1 and the Constitution to the CRO via the CORE portal and pay the €50 filing fee.

7

Register for Corporation Tax, and if applicable, VAT and PAYE with the Irish Revenue Commissioners.

8

Open a corporate bank account using a traditional Irish bank or a digital alternative like Revolut Business or Wise.

Import / Export & Trading FAQ

Do I need a company in the country I am importing to?

Not always. You can often act as a Non-Resident Importer (NRI), but having a local entity can simplify customs, VAT registration, and local banking.

What is an EORI number and do I need one?

An Economic Operators Registration and Identification (EORI) number is required for businesses importing or exporting goods into or out of the European Union.

Should I incorporate in a Free Trade Zone (FTZ)?

FTZs offer tax exemptions and simplified customs procedures, making them ideal if you plan to re-export goods without them entering the local domestic market.

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