The High Court ruled in October that the Valuation Tribunal was incorrect in law in subjecting a Vision Ireland charity shop in Virginia, Co Cavan to commercial rates.

While the judgment currently applies to a single Vision Ireland charity retail store location, the charity’s lawyers argue it sets a significant precedent that may allow other charity shops operating for charitable purposes across the country to obtain an exemption from commercial rates.

It represents the conclusion of a legal challenge begun in 2019 by Vision Ireland, then NCBI, which has more than 120 charity shops nationwide.

The charity was represented in the case by Andrea McNamara, head of private client law at EY Law Ireland, along with barristers Fintan Valentine SC and Catherine Duggan BL.

They argued successfully that retail activities conducted to fund the charitable purposes of the organisation should be exempt from commercial rates under the Valuation Act 2001 (as amended), which provides for an exemption from rates for properties occupied by charitable organisations which use the properties solely for charitable purposes.

Ms McNamara said: “The not-for-profit sector plays a vital role in Irish society and charity shops are an important element of the operations of many of these organisations.

“We are pleased to have acted on behalf of Vision Ireland to clarify this important point of law relating to the availability of an exemption from commercial rates for a charity shop.”

Chris White, CEO of Vision Ireland, added: “Vision Ireland is delighted with the outcome of this case, as this is hugely significant for our sector.

“In 2024 Vision Ireland paid approximately €450,000 in commercial rates. This cost takes funds directly away from providing services for blind and low vision children and adults.

“There are approximately 550 charity shops in Ireland, of which Vision Ireland operates 121. We estimate that the total amount of commercial rates collected from all charity stores annually is approximately €2.1 million.

“This pales in comparison to the approximately €1.5 billion in commercial rates receipts received by local authorities across the country annually.

“Those funds could instead be applied to supporting the various charitable purposes of the organisations operating charity stores, such as Irish children and adults with sight loss, individuals with cancer, individuals who are in wheelchairs, individuals who are in hospices, individuals who are homeless, as well as overseas aid and animal welfare.

“This is a great outcome for the charities of Ireland, and we look forward to deploying these funds for the benefit of the whole of Irish society.”