What is the EIIS scheme in Ireland?

The Employment Investment Incentive Scheme (EIIS) is a Revenue-approved tax relief for individuals who invest in qualifying Irish companies. Investors receive income tax relief of 35% on their investment in the year of investment (or up to 50% if the company meets additional employment or innovation criteria). The maximum annual investment qualifying for relief is €500,000.

How much tax relief does EIIS give in Ireland?

Investors receive income tax relief at 35% of the amount invested in year 1. If the company meets enhanced criteria (significant employment growth or R&D spend), the relief increases to 50%. For example: an investment of €20,000 at 35% gives €7,000 off your income tax bill; at 50% this becomes €10,000. The relief is against income tax only — not CGT, USC, or PRSI.

Who can invest under EIIS in Ireland?

Any Irish income taxpayer can invest. You do not need to be a sophisticated investor or accredited investor. The investment must be made for genuine commercial reasons and not for tax avoidance purposes. You must hold the shares for a minimum of 4 years to retain the full tax relief.

What companies qualify for EIIS?

Qualifying companies must: be incorporated and tax-resident in Ireland; not be listed on a stock exchange; carry on a qualifying trade (most trading activities qualify; property, financial services, and some professional services are excluded); have gross assets of less than €15 million before the investment; issue new ordinary shares to the investor.

What is the maximum I can invest under EIIS?

The maximum annual investment on which tax relief can be claimed is €500,000 per investor per year. There is no minimum. A single qualifying company can raise up to €15 million total under EIIS subject to the overall limit of €10 million in a 12-month period.

What happens if I sell EIIS shares before 4 years?

If you sell or dispose of EIIS shares within the 4-year qualifying period without a valid reason (e.g. company liquidation), Revenue claws back the tax relief granted. You must repay the relief as additional income tax. Disposing of shares to a connected person also triggers clawback regardless of timing.

Business & Tax · Investment

Employment Investment Incentive Scheme Ireland 2026 (EIIS)

The EIIS gives income taxpayers up to 50% income tax relief when they invest in qualifying Irish companies — giving a major incentive to back Irish businesses. Maximum annual investment is €500,000. Shares must be held for at least 4 years.

Reading time: 5 minutesLast updated: June 24, 2026

EIIS — AT A GLANCE

Standard relief rate	35% of investment in year of investment
Enhanced relief rate	50% (if company meets employment/R&D criteria)
Maximum annual investment	€500,000 per investor per year
Minimum holding period	4 years (clawback if sold earlier)
Tax reduced	Income tax only (not USC or PRSI)
Who can invest	Any Irish income taxpayer (no accreditation required)
Company size limit	Gross assets under €15 million before investment
Revenue form	EII1 (company) and EIIS investor relief via tax return

Tax relief example

Investment	Standard 35% relief	Enhanced 50% relief
€10,000	€3,500 off income tax	€5,000 off income tax
€50,000	€17,500 off income tax	€25,000 off income tax
€100,000	€35,000 off income tax	€50,000 off income tax
€500,000	€175,000 off income tax	€250,000 off income tax

Enhanced 50% relief criteria

A company qualifies for the enhanced 50% rate if within 3 years of the investment:

The company creates at least 1 new job in Ireland that is maintained for 3 years, OR
The company spends at least 30% of the investment on qualifying R&D activities

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EIIS vs SURE: EIIS is for external passive investors (you invest in someone else's company). SURE is for entrepreneurs investing in their own new company while also working in it. If you are starting your own business, SURE is usually the better fit. If you are investing in another person's business, use EIIS.

Information Accuracy — This guide has been independently researched and reviewed using official Irish government sources available on the publication date. Government schemes, payment rates, eligibility rules and legislation may change over time. Before making financial, legal or welfare decisions, always confirm the latest information directly with the relevant Irish authority.

Reviewed by

Vitor Alves

Founder of D’Emilia Accounting

Founder of D’Emilia Accounting, helping immigrants navigate Irish tax and benefits.

Last reviewed: June 24, 2026 · About this site

Frequently asked questions

Can I invest in a company where I work as an employee under EIIS?

No. You cannot receive EIIS relief on investments in companies where you are already an employee, director, or partner, or where you are connected to the company through family or business relationships. EIIS is for unconnected outside investors.

Is the relief given in the year of investment or spread over time?

The full income tax relief is given in the year of investment. You claim it on your annual income tax return (Form 11 or Form 12). The relief reduces your income tax bill for that year.

What happens if the company fails and I lose my investment?

If the company fails after the 4-year holding period, you lose your investment but retain the tax relief. The loss on disposal may give rise to a capital loss for CGT purposes, which can be used to offset other capital gains. If the company fails within the 4-year period, the tax relief is clawed back.

Do I need to file anything with Revenue as an investor?

Claim the relief on your annual income tax return. The company must have obtained Revenue certification (Form EII1) before you invest. Keep records of your investment and the company's EII certification in case of a Revenue inquiry.

Is EIIS available via investment funds?

Yes. Some regulated funds invest in a portfolio of EIIS-qualifying companies on behalf of investors. This diversifies the risk compared to a single company investment. Individual investments in a fund attract the same EIIS relief, provided the fund structure is approved by Revenue.

Can non-Irish residents invest under EIIS?

The relief is an Irish income tax relief — so you must have Irish income tax liability to use it. Non-Irish residents who have Irish source income and pay Irish income tax may be able to claim EIIS relief on that income. Non-residents with no Irish tax liability cannot benefit.

Official sources

This page reflects the Employment Investment Incentive Scheme conditions and relief rates for 2026. Always obtain Revenue certification before investing.