Private limited company (Ltd) vs Sole trader — tax comparison 2026
Compare the tax burden of the two legal forms with your own numbers, using each calculator below.
| Private limited company (Ltd) | Sole trader | |
|---|---|---|
| Description | Corporation tax 12.5% trading; dividends taxed at marginal rate. | Income tax 20/40% + PRSI Class S + USC. Real income. |
Official sources
- Revenue (Office of the Revenue Commissioners) — Corporate & personal income tax