The Irish Revenue Commissioners recently published a guidance note to clarify their position on the tax treatment of Irish investors investing in exchange traded funds (ETFs) domiciled outside Ireland.  We have summarised the relevant tax treatment that Revenue will apply.  To give the full picture, we have also included the treatment of Irish domiciled ETFs.

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The Revenue guidance is solely focused on the tax treatment of investors that are Irish tax resident.  The guidance is not relevant to non-Irish investors who hold units in Irish ETFs.  The Irish tax treatment in respect of such non-Irish investors is clear; such investors are wholly exempt from Irish tax their return from Irish ETFs.

This article first appeared in the International Tax Review on 28 May 2015.