Your first year as a new Irish company: deadlines that matter
A new Irish company has several recurring obligations from day one. The most critical early one is the first annual return to the Companies Registration Office (CRO) - the first is due sooner than the annual cycle that follows, and missing an annual return brings late fees and can mean losing audit exemption, so it must not be missed. You also have corporation tax obligations (including filing a return and paying by the deadlines set by Revenue), VAT returns if registered, and payroll (PAYE) obligations if you employ anyone, reported in real time. Keeping accurate records, and a chartered accountant to track the dates, is how a company stays in good standing in its first year.
Forming the company is the easy part. Staying compliant in the first year is where new companies stumble, usually not through unwillingness but because they did not know a deadline existed. Missing some of these has real consequences. Here is the compliance calendar every new Irish company needs to have in view.
The first annual return
Every Irish company must file an annual return with the CRO, and the first one is the trap for new companies: it falls sooner than the regular annual cycle, and it is easy to overlook because nothing has prompted it. Filing it late brings late-filing fees, and - significantly - can cause the company to lose its audit exemption, which is a costly consequence. Diarising the first annual return date as soon as the company is formed is one of the most important things a new company can do.
Corporation tax
- The company must register for corporation tax and file corporation tax returns.
- Corporation tax is filed and paid by the deadlines Revenue sets relative to the accounting period.
- There can be a preliminary tax obligation to plan for.
- Accurate accounts underpin the return - good bookkeeping from day one pays off here.
VAT and payroll
If the company is registered for VAT (see when do you have to register for VAT), it files VAT returns and pays the VAT on the required cycle. If it employs anyone - including a working director on payroll - it has PAYE obligations, operating payroll and reporting pay and deductions to Revenue in real time each pay period. Both are routine with the right systems and easy to fall behind on without them.
Staying in good standing
None of this is onerous with a plan, and all of it is painful without one. The recurring theme is that the obligations arrive on dates, and the cost of missing them - late fees, lost audit exemption, interest and penalties - far exceeds the cost of staying on top of them. A chartered accountant sets up the registrations, tracks the deadlines and files the returns, so a founder can run the business rather than the compliance calendar. See setting up a limited company for the formation steps. McManus McCabe support new and growing Irish companies through their first year and beyond.
General guidance, not advice
This is general information about setting up and registering a business in Ireland, not tax or legal advice for your situation, and thresholds and rules change. Confirm the current position with Revenue and the Companies Registration Office, and speak to a chartered accountant about your own circumstances.
Frequently asked questions
What deadlines does a new Irish company have in its first year?
The first annual return to the CRO (due sooner than the regular cycle and critical not to miss), corporation tax registration and returns by Revenue's deadlines, VAT returns if registered, and PAYE payroll obligations if you employ anyone. Missing the annual return can bring late fees and loss of audit exemption.
Why is the first annual return so important?
Because it falls sooner than the regular annual cycle and is easy to overlook, and filing it late brings late fees and can cause the company to lose its audit exemption - a costly consequence. Diarising the first annual return date at formation is essential.
What records does a new Irish company need to keep?
A new company should keep accurate accounting records from the outset, including invoices, receipts, bank statements and supporting records for business transactions. Good record-keeping makes it easier to prepare accounts, meet tax and filing deadlines, and maintain the company’s compliance throughout its first year.
Start your business on the right footing
McManus McCabe are chartered accountants in Dublin, led by Adrian McManus FCCA and Teresa McCabe FCA, helping new and growing Irish businesses with company formation, VAT registration, tax and ongoing compliance.
Talk to us about setting up, registering and staying compliant, and we will scope the right support for your business.
