You don’t have to wait until you hit €40,000. Registering early can help — or hurt — depending entirely on who you sell to.
Last updated: June 2026
Any business can register for VAT voluntarily, even with minimal turnover, as long as Revenue is satisfied you’re carrying on or intend to carry on a taxable business activity. Once registered, the same rules apply as mandatory registration — you charge VAT on taxable sales and file returns on your assigned cycle, typically bi-monthly.
The decision usually comes down to whether your customers can claim back the VAT you charge them. If they’re VAT-registered businesses, the VAT is essentially neutral to them. If your customers are consumers, they can’t reclaim it, and the VAT becomes a real cost unless you absorb it into your pricing.
Yes, as long as Revenue is satisfied you’re genuinely carrying on or about to carry on a taxable business activity.
Yes, you can apply to cancel your registration if your turnover stays below the relevant threshold and you no longer wish to be registered, subject to Revenue’s conditions.
Often positively — some larger clients and procurement processes prefer or require a VAT-registered supplier.
Registration through Revenue’s online services (ROS) is generally processed within a few weeks, sometimes longer if additional information is requested.
Yes, eligible businesses (including voluntary registrants) can choose to account for VAT on a cash basis rather than invoice basis — see our dedicated guide on this choice.
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