Irish Investment Account calculator 2027: IIA vs ETF vs pension

What the Bill says, in short

• Who: Irish-resident individuals aged 18 or over with a PPS number; one account each, in your sole name.
• How much: up to €12,000 a year in contributions, paid in money. Withdrawals do not free up the allowance, and unused allowance does not carry forward. Over-paying costs 1% a month on the excess until it is taken out.
• What: shares and bonds listed on an EEA regulated market or an equivalent market elsewhere, UCITS funds (including ETFs, but not structured UCITS), and insurance-based investment products. Not shares from employee share schemes.
• Tax: none on income or gains inside; no deemed disposal; 1% a year on the average daily value above €50,000, deducted and paid by the provider. No loss relief.
• Withdrawals: the Bill puts no tax on taking money out and sets no minimum holding period.
• Moving abroad: you must tell the provider; no new contributions while you are non-resident, but the account can stay open.

Frequently asked questions

What is the Irish Investment Account (IIA)?
The Individual Investment Account is a new tax wrapper in the Finance (No. 2) Bill 2026, published on 19 October 2026. Any Irish-resident adult (18 or over) with a PPS number can hold one account, with a registered bank, broker, insurer or fund manager. You can pay in up to €12,000 a year, in money, and buy listed shares and bonds, UCITS funds including ETFs, and insurance-based investment products. Income and gains inside are tax-free; instead there is a 1% yearly investment account tax on the value above €50,000.

How does the 1% investment account tax work?
Your provider adds up the account's value (investments plus cash) at the close of every day it is open in the year, divides by the number of days, takes off €50,000 and charges 1% on the rest. An average of €80,000 means 1% of €30,000: €300. Under €50,000 you pay nothing. The provider takes it from the account and pays Revenue (calculated to 31 December, paid by 14 April); you do not put it on a tax return. Losses inside the account cannot be used against other gains.

IIA or ETF: which leaves more after tax?
An ETF held outside the account pays 35% exit tax on its gains from 2027 (38% in 2026), and is taxed every 8 years on paper gains (deemed disposal) even if you do not sell. Inside the IIA there is no exit tax and no deemed disposal, only the 1% above €50,000. Roughly, the 1% costs less than the ETF's tax whenever growth is above about 2.9% a year (35% of 2.9% is about 1%), because the 1% only applies to the part over €50,000. In the worked example the IIA leaves €34,494 more than the ETF after 20 years.

Does the IIA change "max your pension first"?
Usually not, on the numbers. A pension gets income tax relief at 20% or 40% going in, grows tax-free and pays 25% back tax-free (up to €200,000), so for money you can lock away it tends to leave the most. The IIA is for money you may want before retirement, or above your pension relief limit. This calculator ranks all four on your own figures and says whether "pension, then IIA, then ETF" holds for them.

Can I move my existing ETFs or shares into the IIA?
Not as they are, on the Bill as published: a contribution is defined as money paid into the account, so investments held outside cannot be transferred in. To use the account you would sell, which triggers exit tax or CGT on any gain, and then pay in cash, up to the yearly limit. Accounts can move between providers. Our ETF tax tracker shows each existing holding’s next deemed disposal date.

When does the Investment Account open?
The Bill lets providers offer accounts once the Minister for Finance signs a commencement order; the Government has said 1 July 2027. The €12,000 limit applies per tax year (calendar year), counted without taking off withdrawals, so taking money out does not give you the allowance back and unused allowance does not carry forward.

Is the Investment Account law yet?
No. As of 10 November 2026 the Finance (No. 2) Bill 2026 has passed Second Stage and is at Committee Stage in the Dáil (debated 3 and 5 November), where the Government proposed technical amendments and penalties for providers. It still needs Report Stage, the Seanad and the President’s signature, usually by late December. We will update this page when it is enacted.

Related

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• Irish ETF Exit Tax Tracker: every existing holding’s 8-year deemed disposal date and the tax due · ETF exit tax calculator
• Irish Retirement Planner: your pension, lump sum and drawdown to 95 · pension tax relief calculator
• Tax on investments in Ireland: exit tax, deemed disposal, CGT and the new account
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