Putting an Irish holiday let into a company: what actually changes

What changes is the return you file

Revenue sets out which return carries rental income, and the company sits in its own line. The €5,000 dividing line has applied since the 2016 year of assessment (Finance Act 2015, section 13):

• a Form 1 for estates or trusts.

Losses and allowances behave the same way

The ring-fencing that applies to an individual applies to the entity. A rental loss is carried forward until a rental profit absorbs it, it can only be offset against Irish rental income, and capital allowances must be used before brought-forward losses. Moving a loss-making property into a company does not release the loss into the wider affairs of the business; it relocates the same ring-fenced balance.

The questions we cannot answer, and nor should a blog

There are four points where the honest answer is that the figures depend on your circumstances and belong with your accountant before any transfer happens.