Portugal vs Ireland
Ireland is £860 cheaper in year 1 and £693 a year cheaper after that.
| PortugalLda | IrelandPrivate company limited by shares (LTD) | |
|---|---|---|
| Costs | ||
| Minimum, year 1 | £1,440 | £580 |
| Minimum, per year after | £1,130 | £437 |
| Typical year 1 | £2,640 | £2,808 |
| Government fee | £310€360 Empresa na Hora | £43€50 online via CORE |
| Indirect setup | £130–1,030 | £100–2,050 |
| Running per year | £1,130–2,930 | £437–3,792 |
| Share capital | €1 per partner | €1 |
| Rules | ||
| Directors | No local directorYou need a tax number (NIF) and a tax representative. | Local director neededOne director must live in the EEA. Without one, you need a €25,000 bond costing about €1,500 to €2,000. |
| Remote setup | Through a providerOnline only with a Portuguese digital ID. Otherwise in person or through a lawyer. | Fully remoteOnline through CORE. Each director needs an Irish ID number, which means signing a form in person in front of a notary. You also need a company secretary and an RBO filing. |
| Audit | No audit below size thresholds | No audit for small companies |
| Time to form | 1 day to 2 weeks | 2 to 4 weeks |
| Ease for foreign owners | 3/5 | 3/5 |
| Tax and banking | ||
| Corporation tax | 15% / 19%19%, or 15% on the first €50k for small companies, plus up to 1.5% municipal tax. | 12.5%12.5% on trading profit, 25% on passive income. |
| Dividend withholding | 25%25% dividend withholding, reduced by treaty. | 25%25% dividend withholding, with EU and treaty exemptions. |
| VAT / GST | 23% | 23% |
| Banking | 2/5Local banks often want a visit. | 3/5Irish banks want local presence. EU e-money accounts are common. |
| All company setup fees in Portugal | All company setup fees in Ireland | |
Questions
Is Portugal cheaper than Ireland for company setup?
No. Ireland is cheaper, at least £580 in year 1 against £1,440 for Portugal.
Which is cheaper to run each year?
Ireland, at least £437 a year against £1,130 for Portugal.
Which needs a local director?
Ireland. One director must live in the EEA. Without one, you need a €25,000 bond costing about €1,500 to €2,000. Portugal does not need one.
Which is faster to set up?
Portugal, in 1 day to 2 weeks. Ireland takes 2 to 4 weeks.
How does corporation tax compare?
Portugal: 19%, or 15% on the first €50k for small companies, plus up to 1.5% municipal tax. Ireland: 12.5% on trading profit, 25% on passive income.
Sources: Portuguese Government · PwC · CRO · Revenue · Open Forest