Government has outlined plans for a new Investment Account in 2027 while identifying wider reforms to the taxation of retail investment for consideration from Budget 2028. 

Ireland’s Department of Finance has published a Roadmap for the Taxation of Retail Investment, setting out proposals to simplify the taxation of retail investment and introducing a new Investment Account that is expected to be available in 2027.

Tánaiste and Minister for Finance Simon Harris published the Roadmap on 31 August 2026. The Government intends to provide the legislative framework for the Investment Account in the Finance (No. 2) Bill 2026, with the account to be made available during 2027.

The Investment Account will be available to Irish tax-resident individuals aged 18 and over who hold a PPSN. Each person will be permitted to hold one account.

The account will include a tax-free threshold, with a low flat rate of tax applying annually to the value above that threshold. No tax will be due where the account value remains below the threshold.

The specific tax-free threshold, flat tax rate and annual contribution limit will be announced as part of Budget 2027. There will be no minimum contribution requirement, while an annual maximum contribution limit will apply.

Investments covered

Eligible investments will include listed shares, listed bonds, financial instruments traded on a regulated market and a range of investment funds suitable for retail investors, including ETFs.

The existing investment tax regime, including the deemed disposal rule, will not apply to investments held through the Investment Account. Instead, qualifying providers will calculate, report and pay any tax due to Revenue on behalf of the investor.

There will be no minimum holding or lock-in period. Portability between Investment Account providers will also be facilitated, where possible, on a tax-neutral basis.

Derivatives, crypto assets and other highly complex and risky products will be excluded from the account.

The proposed eligible providers include MiFID-authorised service providers, regulated fund managers and insurers or firms regulated under the Insurance Distribution Regulations, including eligible EEA-authorised providers.

Announcing the Roadmap, Tánaiste and Minister for Finance Simon Harris TD said: Harris said: “For people who decide that investing is right for them, I want to make sure they have a simple and accessible way to do so.”

Household investment levels

The Roadmap states that Irish households hold 2.3% of their financial assets in direct investments such as listed shares and debt securities, compared with an EU average of approximately 7.5%.

Cash and deposits account for 38% of Irish household financial assets, compared with an EU average of 30%.

The Investment Account is intended to provide a simpler framework for individuals who choose to invest part of their savings in capital markets.

Wider retail investment tax review

The Roadmap also sets out further work on the existing taxation of retail investment.

Budget 2026 reduced the tax rate applying to Irish and equivalent offshore funds, and Irish and certain foreign life assurance products, from 41% to 38%.

For Budget 2028 and beyond, the Government has identified three areas for consideration:

  • reducing the rate of taxation;
  • reviewing the deemed disposal rule; and
  • introducing administrative simplifications.

The options will be subject to further analysis, including their Exchequer impact and the need to retain appropriate anti-avoidance protections.