Self-employed tax in Ireland: what you pay and when

Sole traders pay income tax, USC and Class S PRSI on their profit through Form 11. Preliminary tax for the next year is due the same day. A full example.

If you work for yourself as a sole trader, nobody deducts tax from what you earn. You work out your profit for the calendar year and file a Form 11. You pay the tax yourself, along with an advance payment for the following year.

What you are taxed on

Your profit: income less the costs of running the business, and less capital allowances (the cost of equipment and vehicles written off over several years). Costs must be wholly and exclusively for the business; for things you also use privately, only the business share counts. See what you can deduct.

Three charges on the profit

• Income tax at 20% and 40%, less your personal credit and the earned income credit.
• USC at the usual rates, plus a 3% surcharge on non-PAYE income over €100,000. See USC for the self-employed.
• PRSI Class S on all your income once it is over €5,000, with a minimum of €650 a year. See Class S PRSI.

An example for 2026

A single graphic designer with sales of €72,000 and €6,000 of business costs:

When you pay

Tax for 2026 is paid by 31 October 2027, with the Form 11. If you pay and file through ROS, Revenue sets a later date each year. On the same day you pay preliminary tax for 2027, usually 90% of the expected 2027 bill or 100% of 2026's. In the first year that means two years' tax at once: here €17,909.57 for 2026 plus €17,909.57 for 2027. Setting money aside from the start avoids a shock. See preliminary tax.

Getting started

• Register for income tax self-assessment through ROS when you start trading.
• Register for VAT if your sales pass the thresholds. See VAT.
• Keep records of income and expenses for six years.

To work out your own tax, Form 11 lines and payment dates, use the sole trader calculator.

Work it out

• Sole trader tax return →
• Preliminary tax →
• Self-employed expenses and what they save →
• Registering as self-employed: the cost and what it gets you →
• Write-offs on tools, vans and machinery →

Sources

• Revenue: Tax rates, bands and reliefs (checked 25/10/2026)
• Revenue: Standard rates and thresholds of USC (checked 25/10/2026)
• Department of Social Protection: PRSI Class S Rates (checked 16/10/2026)
• Revenue: Earned Income Credit (checked 25/10/2026)
• Revenue: What is preliminary tax? (checked 25/10/2026)
• Revenue: Form 11 2025: Tax Return and Self-Assessment (checked 24/10/2026)
• Revenue: Who should register for Income Tax self-assessment? (€5,000 net or €30,000 gross non-PAYE income) (checked 24/10/2026)

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