Tax Clearance Certificate in Ireland: Who Needs One and How to Apply
Tax clearance certificate Ireland: what it is, who needs one for tenders, grants and licences, how to apply with eTax Clearance and why it is refused.
- Author
- Abbey Blue Formations
- Published
- Reading time
- 6 min read
A tax clearance certificate is Revenue's confirmation that your tax affairs are in order. For many small companies it is a formality until the day it is urgently needed: a public tender closes on Friday, a grant needs sign-off or a licence is up for renewal.
The application is online and quick when everything is in order, but it depends on every return and payment being up to date, for your company and sometimes the people behind it.
What is a tax clearance certificate?
A tax clearance certificate Ireland businesses obtain is issued through Revenue's electronic tax clearance system, often called eTax clearance or eTC. When your application is approved, you receive:
- A tax clearance certificate, which you can view, print or save; and
- A Tax Clearance Access Number (TCAN).
Revenue does not post paper certificates. Instead, you give your TCAN and your tax reference number to whoever needs to check your status, and they verify it online.
The certificate is not a one-off snapshot. Revenue checks your compliance on a regular basis, and the certificate stays valid only while your tax affairs remain in order. If they fall out of order, it can be rescinded (withdrawn).
Who needs a tax clearance certificate?
Public sector contracts and grants
You need tax clearance if you receive payments from a public sector contract of more than €10,000 (VAT inclusive) during the year, or grants, subsidies or similar payments from a government department or public authority of more than €10,000 during the year.
For small companies, this is the most common trigger: supplying services to a local authority, a school, the HSE or another public body, or drawing down enterprise supports.
Licences and schemes
Tax clearance is also needed to apply for or renew a range of licences, including:
- Liquor licences (wholesale or retail)
- Bookmaker's and gaming licences
- Auctioneer's or house agent's licences
- Money lender's licences and mortgage or credit intermediary authorisations
- Private security services licences
- Road transport licences for goods and passengers
- Small public service vehicle (taxi and hackney) licences
- Waste collection permits
Other situations include applications under the Standards in Public Office Acts and the Charities VAT Compensation Scheme.
How to get a tax clearance certificate Ireland: step by step
Here is how to get tax clearance certificate Ireland approval for a company.
- 1Make sure you are registered for ROS. Companies apply through the Revenue Online Service. Individuals who are PAYE-only use myAccount.
- 2Check your compliance first. Confirm all returns are filed (CT1, VAT3, RTD, payroll) and all payments are up to date.
- 3Log in to ROS and select "Manage Tax Clearance" under "My Services", or click your tax clearance status at the top right of the ROS home screen.
- 4Complete the application, choosing the correct purpose (for example, public sector contract or licence), and submit.
- 5Get your result. If approved, save your certificate and note your TCAN. If refused, the system shows the reasons.
How long does it last?
Where tax clearance is for a grant, you must apply each year. In all other cases, the clearance remains valid for four years, as long as your tax affairs stay in order.
Why tax clearance gets refused
An application is refused when your tax affairs, or those of your "connected persons", are not in order. Common reasons include:
Missing returns. An unfiled CT1, VAT3 or annual Return of Trading Details is enough.
Unpaid tax. Outstanding liabilities for any tax head.
Connected persons. For a company, anyone who owns or controls more than 50% of the ordinary share capital must also be tax compliant. So a director's personal tax problems can block the company's certificate.
Registration gaps. For example, trading without the right registrations; our VAT and tax registration service can fix this.
If you have arrears, a phased payment arrangement agreed with Revenue can allow a certificate to issue.
What to do if you are refused
Fix the issues shown in the refusal message and reapply. If the message refers to requirements under Sections 1094 or 1095, contact the Collector-General's Division.
You can also appeal a refusal or rescission within 30 days of Revenue's written communication. Before appealing, you must pay any tax that is not being disputed, and the appeal cannot be used to challenge the underlying unpaid tax itself.
How to stay tax-clear all year
Tax clearance is a by-product of routine compliance: returns in on time, every time.
- Use a first-year compliance calendar so no deadline is missed.
- Keep on top of the CT1 corporation tax deadlines and the annual RTD, as covered in our guide to your first VAT return.
- Remember directors' own affairs count; our guide to directors' duties and personal liability explains why.
Monthly bookkeeping is what makes all of this automatic. Our fully online bookkeeping and accounting packages keep your VAT, payroll and year-end filings on schedule, so your company is ready whenever a tender or grant opportunity comes up.
Frequently Asked Questions
What is a tax clearance certificate in Ireland?
A tax clearance certificate Ireland businesses obtain is Revenue's confirmation that their tax affairs are in order. It is issued electronically through the eTC system, along with a Tax Clearance Access Number (TCAN) that third parties use to verify your status online. Revenue monitors compliance regularly, and the certificate can be withdrawn if your affairs fall out of order.
Do I need tax clearance for public sector work?
Yes, if you receive more than €10,000 (VAT inclusive) from a public sector contract during the year. The same threshold applies to grants, subsidies and similar payments from a government department or public authority. Many tenders ask for your TCAN at submission stage, so it is worth applying early.
How do I apply using eTax clearance?
Companies apply through ROS by selecting "Manage Tax Clearance" under "My Services", then completing and submitting the application. eTax clearance applications are assessed against your current compliance, so check that all returns are filed and payments made before you apply. PAYE-only individuals apply through myAccount.
How long is a tax clearance certificate valid?
For grants, you must apply each year. In all other cases, the tax clearance certificate remains valid for four years, provided your tax affairs stay in order. Revenue can rescind it at any time if returns or payments fall behind, so ongoing compliance matters as much as the original application.
Why was my tax clearance application refused?
Usually because a return is missing, tax is unpaid, or a connected person (such as a director or shareholder controlling more than 50% of the company) is not tax compliant. The refusal message sets out the reasons. Fix them and reapply, or appeal within 30 days if you believe the decision is wrong.
Get tax-clear from day one
If you are wondering how to get tax clearance certificate Ireland approval without delays, start with a properly formed company and tidy books. We handle formations, tax registrations and monthly bookkeeping in one place. Click here to use our free Formation Calculator and see exactly what getting started will cost.