VAT Compensation Scheme

The scheme facilitates charities to claim the VAT on input costs to the extent these relate to the charity’s privately raised income. The process of establishing eligibility and calculating and submitting a claim is outlined below through links to the Revenue Commissioners’ website and guidance notes:

VAT Scheme Overview – Revenue Commissioners

Guidance notes – Revenue Commissioners

The first year of eligibility is the calendar year 2018 and the claims process, facilitated through the Revenue Online Service (ROS) is now open, with a submission deadline of 30 June 2019 for all 2018 claims.

The scheme is currently capped at €5m per annum and will be reviewed after 3 years of operation and there is also a facility at the end of Year 1 to monitor and review any unforeseen operational issues that may arise in the roll-out of the scheme.

Revenue has recommended that charities try and have their claims in at least two weeks prior to the deadline so any additional materials that may be requested can be forwarded in time. If you have any queries Revenue asked to contact them directly on the following number:

Charities and Sports Exemptions Unit:  01 738 3680.


VAT Scheme Overview
Guidance notes
Declaration Template