How are foreign lump sums taxed in Ireland?

Lump sum payments arising from foreign pension arrangements are taxed in the same manner as those made from local pensions. Irish revenue treats all lifetime lump sums cumulatively:

• €0–€200k: Tax-free

• €200,001–€500k: 20% standard rate

• Above €500k: Marginal income rate (≈ 40%) plus USC

It is always advisable to consult a tax advisor before considering taking any benefits (Taxation of retirement lump-sums).