Temporary VAT Rate Change

11/07/2025
Knowledge

How To

The standard rate of Irish VAT will be temporarily reduced from 23% to 21% for a six-month period from 1 September 2020 to 28 February 2021.

Unbilled time and fee entries will remain at the previous rate (23%). At the time of invoice creation the current tax rate (21%) will be applied.

Adjustments, discounts, write offs will be calculated at the current tax rate (21%). For invoices created prior to 1 September, ensure to reverse the tax rate to the previous amount (23%) to adjust at the previous rate.

Desktop
Web

Click the LEAP Menu > Settings > Application Settings on the Matter List.

LEAP Options will open in a new window.
Click Nominal Ledger > Tax Code.
Select VAT on Income and click .
Change the Rate % from 23 to 21.
Click Submit.
Select VAT on Expenses and click .
Change the Rate % from 23 to 21.
Click Submit.

Click on the Matter List.
Click Options.

LEAP Options will open in a new window.
Click Nominal Ledger > Tax Code.
Select VAT on Income and click .
Change the Rate % from 23 to 21.
Click Submit.
Select VAT on Expenses and click .
Change the Rate % from 23 to 21.
Click Submit.

Remember to reverse these changes once this temporary period of six-months ends 28 February 2021. We will publish another article with these steps closer to that date.

Last Modified Date

11/07/2025 2:04 am

Title

Temporary VAT Rate Change

URL Name

Temporary-VAT-Rate-Change-IE

Resolution