Invoicing UK clients in pounds from Ireland

2026-09-26 · FaighPaid

Plenty of Irish freelancers and contractors work for UK clients who would rather be billed in pounds. That's allowed. The catch is that Irish VAT is accounted for in euro, so the invoice has to carry euro figures too.

The rule

Revenue's guidance on what a VAT invoice must show says an invoice issued in a foreign currency must also show the corresponding figures in euro, and the VAT amount must be stated in euro. The rate to use is the latest selling rate recorded by the Central Bank of Ireland or the European Central Bank when the VAT becomes due. You can agree a different method with Revenue, but you then have to use it for every foreign-currency invoice.

How FaighPaid does it

• Choose GBP on the new-invoice form. Prices, totals, reminders and the requested payment amount are in pounds. Currency does not choose tax treatment.
• FaighPaid fetches the ECB euro reference rate for your selected VAT conversion date. On a weekend or bank holiday it uses the last rate published before that date.
• The rate and its publication date are fixed on the invoice, and the invoice shows the VAT, net and total in euro.
• Your VAT summary and accountant CSV are in euro, with the sterling amounts listed separately so everything reconciles.
• If the ECB can't be reached, the invoice isn't created. Try again a minute later. We never guess a rate.

Which VAT rate applies to a UK client?

A UK business address or a GBP price does not itself decide Irish VAT treatment. General-rule B2B services supplied to an established UK business are outside the scope of Irish VAT. Select that treatment only after checking the customer and confirming that no special place-of-supply rule applies. Goods, property-related services, consumers and construction/RCT need different handling and are outside this workflow.

VAT timing depends on the applicable rules. Ordinary invoiced supplies can use the issue date or an earlier required issue deadline; authorised moneys-received accounting needs separate treatment. These invoice-date figures are not your VAT return. Confirm the applicable period and conversion date with your accountant.

Getting paid

Make sure your bank account can receive sterling, or be ready for your bank to convert it. Check that your provider link accepts GBP; the client must enter the amount and invoice reference. Conversion and transfer or card fees depend on the bank or provider. The invoice's ECB rate is not your settlement rate.

Already have an invoice drafted? Check it with the free invoice grader.

FaighPaid is a free Irish invoicing tool with a built-in payment chaser. Not legal or tax advice — check Revenue.ie and, for decisions about your own tax, your accountant.