DED memorandum 2023

Introduction

The VAT Deduction Exclusion Decree (“DED”) precludes the recovery of VAT on promotional gifts and staff benefits if they were provided free or below cost by the business. A threshold of EUR 227 per recipient applies. No DED adjustment is necessary if the total purchase and production costs (the cost price) of the benefits are less than EUR 227 (excluding VAT) per annum per recipient. This is a final threshold: if the threshold is exceeded, the input VAT on the provisions within the threshold amount is also non-recoverable. 

Download our Memorandum including a flowchart to determine in general terms and on a step-by-step basis whether a DED adjustment is necessary.