The Special Assignee Relief Programme, or SARP, provides Income Tax relief to specific people who have been assigned from abroad to work in Ireland.
On 1 January 2024, Revenue launched a new eSARP Portal on the Revenue Online Service (ROS).
SARP provides Income Tax relief for certain people who are assigned to work in Ireland from abroad. You must be assigned by a relevant employer to work in Ireland for that employer.
SARP Relief applies to assignments during any of the tax years 2012 to 2025.
It can also apply to returning workers who have been outside of Ireland for at least a total of five years and can in some cases provide continuous relief for five consecutive tax years.
The definition of a relevant employer is that the company is both incorporated and tax resident within a country with which Ireland holds a double taxation agreement, or a Tax Information Exchange Agreement (TIEA).
A relevant employee must have been a full-time worker of the company for a minimum of 6 months, that will arrive in Ireland to perform their designated work duties for an associated company of the relevant employer.
Conditions for the Special Assignee Relief Programme to apply
Other criteria must be met in order for the SARP programme to apply, of which includes:
The relief allows for a relevant amount of compensation to be excluded from Income Tax which would otherwise liable to tax within Ireland.
If you arrive in Ireland after 1 January 2023, the proportion is 30% of your income over €100,000 up to a limit of €1,000,000. If you arrived in Ireland after 1 January 2019, the proportion is 30% of your income over €75,000 up to a limit of €1,000,000.
Relief is not extended to Universal Social Charge (USC) so you will have to pay USC on the full amount of your salary.
You can claim the relief for a maximum of five consecutive years, starting with the first year you are entitled to the Relief.
If you qualify for the relief, you are entitled to receive (tax free) certain travel expenses and costs.
It is worth understanding that it is very important that the claim you want to make under SARP would be the best possible outcome and tax relief as possible for you and that you don’t reduce your tax claims in other areas.
How do you apply for SARP relief?
From 1 January 2024, Form SARP 1A may be certified through the eSARP portal. The eSARP portal is available through the Revenue Online Service (ROS).
You can be granted relief through your payroll or you can make a claim for relief at the end of the tax year.
Your employer can seek approval to grant relief through payroll, when applying for SARP Relief.
You must submit a return of income for each year the relief is claimed.
Each employer must make an annual return to Revenue. From 1 January 2024, employers can submit the 2023 Employer Return, and all subsequent years, through the online eSARP portal.
Speak to an Irish tax specialist to ensure you are doing things correctly
If you need help with SARP or any other Irish tax requirements, whether related to property, or other assets, you should seek qualified advice from an Irish tax specialist.
Our free introduction service will connect you with a trusted Irish tax specialist who will invite you to book an initial 30 minute consultation for €255. During the consultation, the specialist will be able to provide formal Irish tax advice and detail any other services or options you may need to get you Irish tax matters in shape, including: