Capital gains
Development land: still 33%
Last updated 16 October 2026
The Budget 2027 cut does not apply to development land. Indexation only covers current use value, and losses are ring-fenced.
Development land is land in Ireland, including buildings, sold for more than its current use value. That is the value it would have if no development, other than minor development, could happen. Gains on it stay at 33% after Budget 2027.
The same €350,000 sale, if it were development land, would pay €45,450.90 instead of €42,696.30.
Indexation is limited
For land owned before 2003, only the current use value at the time you got it can be increased by indexation. The development value part of the cost is allowed, but not indexed.
Losses are ring-fenced
A loss on development land can be set against any gain. But losses on other assets cannot be set against gains on development land.
Work it out
Sources
- Revenue: eBrief No. 142/26: CGT standard rate reduced to 31% from 7 October 2026 (checked 25/10/2026)
- Revenue: How to calculate CGT (checked 25/10/2026)
General information, not tax advice. HeyPenny is not a tax agent.