Plan B Atlas

US taxes for Americans in Ireland

What moving to Ireland does to your IRS filing — the treaty and credits that stop double taxation, the non-dom quirk that can shield US income, and the Irish rules once you're resident.

Verified against official sources · Plan B Atlas Editorial Team · Updated June 2026

Front-loaded answerYou keep filing a US return on worldwide income every year, but double taxation is well-managed: there's a US–Ireland tax treaty and a Social Security totalization agreement. Irish taxes are high (the 40% band starts at just €44,000, plus USC and PRSI), but a powerful quirk helps new arrivals — as a US citizen you're non-domiciled, so foreign income and gains are taxed in Ireland only to the extent you bring the money in.

The treaty, the credit & the non-dom remittance basis

Because Irish rates are generally higher than US ones, most Americans use the Foreign Tax Credit and owe little or no US tax. The standout planning tool is the remittance basis: as a non-domiciled resident, US investment income and capital gains kept outside Ireland can escape Irish tax entirely — a genuine, deliberate advantage worth structuring around.

ToolWhat it coversFigure
FEIE (Form 2555)Earned income (salary, freelance)$130,000 (2025); $132,900 (2026)
Foreign Tax Credit (Form 1116)Irish tax paid (usually high)No fixed cap
Remittance basis (non-dom)Foreign income kept outside IrelandTaxed only if remitted
Source: IRS — US–Ireland income tax treaty; Revenue.ie — remittance basis (TDM 05-01-21A)Last verified: Jun 29, 2026 · View source

The reports that catch Americans out: FBAR & FATCA

Opening an Irish bank account triggers two US disclosures — information reports, not extra taxes, but with severe penalties for skipping them. Irish banks report US-person accounts under FATCA.

FBAR (FinCEN 114)
Foreign accounts > $10,000 any time in the year
FATCA (Form 8938)
Higher thresholds; filed with your 1040
Filed where
FBAR → FinCEN; 8938 → IRS
Deadline
With your return (FBAR auto-extends to Oct)
Source: IRS / FinCEN — FBAR; Form 8938 (FATCA)Last verified: Jun 29, 2026 · View source

The Irish side: residency, rates & pensions

Ireland sideYou're Irish tax resident at 183 days in a year (or 280 over two). Irish income tax is 20% to €44,000 then 40%, plus the USC and PRSI on top — high by US standards, though the treaty and non-dom rules soften it. On pensions, the treaty gives a favorable result: US Social Security is taxable only in Ireland, and US government-service pensions only in the US.

  • PRSI rose to 4.2% (Oct 2025), with a further rise scheduled Oct 2026 — on top of income tax and USC
  • The 40% band starts at just €44,000 — plan the non-dom remittance basis deliberately
  • Private pensions are taxable in Ireland; US government pensions only in the US — get cross-border advice
Source: Revenue.ie (residency, income tax, USC, PRSI); US–Ireland treaty (pensions). Not tax advice.Last verified: Jun 29, 2026 · View source

Frequently asked

What is the non-dom remittance basis in Ireland?
As a US citizen resident in Ireland you're 'non-domiciled,' so foreign income and gains are taxed in Ireland only to the extent you remit (bring) them into the country. Kept outside Ireland, US investment income and capital gains can escape Irish tax entirely — a major, legitimate advantage for new arrivals.
Is US Social Security taxed in Ireland?
Under the US–Ireland treaty, US Social Security is taxable only in Ireland (a favorable result), while US government-service pensions are taxable only in the US. Private pensions are generally taxable in Ireland. It's worth cross-border advice to get the ordering right.
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Verified against official sources. Every figure on this page is checked against primary US (IRS, State Dept., SSA) and Portuguese (AIMA, Autoridade Tributária) government sources and dated. Maintained by the Plan B Atlas editorial team.
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Editorial & AI disclosure. Compiled from official US (IRS, State Dept.) and Portuguese government sources, with figures dated per section. Drafting is AI-assisted; every page is reviewed, fact-checked, and edited before publication. Plan B Atlas is independent and does not sell visa or tax services. This is general information for US citizens, not legal or tax advice — consult a licensed cross-border professional for your situation.