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Home / Guides / Revised Entrepreneur Relief

Revised Entrepreneur Relief: 10% CGT when you sell your business

The short answerWhen you sell your business, Revised Entrepreneur Relief taxes the gain at 10% instead of 33%. From 1 January 2026 it covers up to €1.5 million of lifetime gains, up from €1 million. You need to have owned the business for 3 of the last 5 years, and for a company, 5% of the shares.

On €1.5 million of gains, 10% instead of 33% is the difference between €150,000 and €495,000 in tax (our sums). Investment and property-letting businesses don't qualify.

Quick facts

Rate
10% (standard 33%)
Lifetime limit from 2026
€1.5 million
Before 2026
€1 million
Ownership
3 continuous years in the last 5
Company shares
At least 5%
Working time
50% in a managerial or technical role

What it does

"This relief gives a CGT rate of 10% on gains from the disposal of chargeable business assets. This is reduced from the standard rate of 33%."

"For gains arising on or after 1 January 2026, the lifetime limit increases to €1,500,000." Before that: "You can claim the relief on the first €1,000,000 of gains arising between 1 January 2016 and 31 December 2025."

How you qualify

"You must have owned the business assets for a continuous period of three years. The three years must be in the five years immediately prior to the disposal." "In the case of shares, you must have owned at least 5% of the ordinary shares for a continuous period of three years."

For a company, you must have "spent no less than 50% of your time in the service of the company (or companies) in a managerial or technical capacity and served in that capacity for a continuous period of three years."

What doesn't qualify

Investment businesses, land development and letting are excluded, as are "development land assets on the disposal of which no chargeable gain would arise assets personally owned outside a company, even where such assets are used by the company". Claim it when you calculate your CGT and file your return.

Common questions

What is the CGT rate under Revised Entrepreneur Relief?

10%, instead of the standard 33%.

What is the Entrepreneur Relief lifetime limit?

€1.5 million of gains arising on or after 1 January 2026; it was €1 million for 2016 to 2025.

How long must I own the business for Entrepreneur Relief?

3 continuous years within the 5 years before the sale, and for shares, at least 5% for 3 continuous years.

Does Entrepreneur Relief apply to rental property?

No. Letting land and holding investments aren't qualifying businesses.

Our arithmetic, not theirs:
  • €150,000 — 10% × €1,500,000
  • €495,000 — 33% × €1,500,000
  • €1.5 — €1,500,000 as quoted, written as €1.5 million
  • €1 — €1,000,000 as quoted, written as €1 million
Source: Revenue: Revised Entrepreneur Relief, read 1 October 2026. Every figure on this page is quoted from there. If it changes, this page is wrong until we fix it — tell us and we will.

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