Capital Gains Tax on shares: first in, first out, and the four-week rules

Gains on shares are taxed at 31% from 7 October 2026. The oldest shares count as sold first, with special rules for four-week trades.

Selling shares at a profit is a disposal for Capital Gains Tax, whether they're Irish or foreign, quoted or not. The gain is the sale price less what you paid and your dealing costs. The first €1,270 of gains each year is free. The rest is taxed at 31% for sales from 7 October 2026 (33% before), once Finance (No. 2) Bill 2026 is enacted.

Which shares did you sell?

If you bought shares of the same company and class at different times, Revenue treats the oldest as sold first. This is the first in, first out (FIFO) rule, and it decides which purchase price you use.

Example: you bought 400 shares at €25 in 2018 and 600 at €40 in 2021. In November 2026 you sell 700 at €55. Under FIFO, you sold all 400 from 2018 and 300 from 2021, so the cost is €22,000.

The four-week rules

• Say you sell shares within four weeks of buying shares of the same class. The shares sold are matched with those bought in that four weeks first (last in, first out). FIFO applies to any excess.
• Say you sell at a loss and buy the same shares back within four weeks. Then the loss can only be set against a gain when you later sell the shares you bought back.

Bonus and rights issues

Shares from a bonus or rights issue are treated as bought when you bought the original shares. For a bonus issue, spread the original cost over the larger number of shares. Revenue's guidance on shares works through each case.

What isn't CGT

• dividends: these are income, taxed under income tax, USC and PRSI
• Irish and most EU ETFs and funds: these pay exit tax instead, with an eight-year deemed disposal. Budget 2027 cuts the rate from 38% to 35%
• shares from your employer (RSUs, options): income tax applies when you receive them; CGT only comes in when you later sell

Paying and reporting

CGT on sales from January to November is due by 15 December; on December sales, by 31 January. Report the sale on Form 11 or Form CG1 by 31 October of the next year. Losses can be carried forward; see CGT losses.

Work it out

• Capital Gains Tax on shares and crypto →
• Share investment growth, after Irish tax →
• ETFs or direct shares: which leaves you more? →

Sources

• Revenue: How to calculate CGT (checked 25/10/2026)
• Revenue: When and how do you pay and file CGT? (checked 25/10/2026)
• Irish Statute Book: Taxes Consolidation Act 1997, s.546(6): losses set against the highest-rate gains first (checked 20/10/2026)
• Revenue: Tax and Duty Manual Part 02-03-01A: Capital Gains Tax rate of charge (S.28) (checked 25/10/2026)
• Revenue: Share awards and RSUs (taxed through PAYE; no employer PRSI on share-settled awards) (checked 20/10/2026)

General information, not tax advice. HeyPenny is not a tax agent.