The preliminary Corporation Tax obligations for companies vary depending on the size of the company and whether or not the company is a startup company.
Small companies
A small company is a company whose Corporation Tax liability in the preceding accounting period does not exceed €200,000. A small company has the following preliminary Corporation Tax options:
- 90% of the company’s current year liability
- 100% of the company’s prior year liability
In both cases the payment is due by the 21st of the 11 month in the accounting period.
New or Start-up companies
New or Start-up companies with a Corporation Tax liability of €200,000 or less for their first accounting period will not be required to pay Preliminary Tax in respect of that first accounting period.
Large companies
A large company is a company whose Corporation Tax liability in the preceding accounting period exceeded €200,000. A large company has to pay its preliminary Corporation Tax in two installments. The installments are due on the following dates:
- 21st of 6th month in the accounting period for the first installment
- 21st of 11th month in the accounting period for the second installment
The first installment must be either 50% of the Corporation Tax liability for the preceding accounting period or 45% of the corporation tax liability for the current accounting period.
The second installment must bring the total preliminary tax paid to 90% of the Corporation Tax liability for the current accounting period.
