Ireland Introduces Permanent 9% VAT Rate for Food and Hairdressing
The Irish government has made the 9% VAT rate for food, catering, and hairdressing services permanent as of July 2026. This policy is designed to support small and medium-sized enterprises, which account for the majority of businesses in these sectors.
Why it matters
Permanent tax adjustments for specific service sectors significantly impact the operational costs and pricing strategies for small businesses.
The Irish Department of Finance has confirmed that the reduced 9% VAT rate for food and catering services and hairdressing services became permanent on 1 July 2026 . The change replaces the previous temporary measure and establishes the reduced rate without an expiry date.
The article reports on government policy changes using objective, economic-focused language.
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