Can I claim a van as a business expense for a self-employed sole trader in Ireland?
Yes — a van used for business is a qualifying capital asset in Ireland, and you can claim capital allowances at 12.5% per year over 8 years on its cost (or the business-use proportion if also used privately). In addition, you can claim running costs: fuel, insurance, road tax (motor tax), NCT, servicing, repairs, and any hire purchase finance interest. If the van is used exclusively for business, claim 100% of all costs. If there is private use (e.g. taking it home, personal errands), you must disallow a proportion for private use and claim only the business percentage. A van is generally treated more favourably than a car for tax purposes in Ireland — cars are subject to CO2-based restrictions on capital allowances.
- Capital allowances at 12.5%/year over 8 years on the van's cost (or business-use portion)
- Running costs (fuel, insurance, NCT, road tax, repairs) also deductible
- Private use must be excluded — claim only the business proportion
- Vans treated more favourably than cars (no CO2 restrictions on capital allowances)
- Keep records: NCT, insurance, and fuel receipts plus a business mileage log