Section 137 Non-EEA Resident Director Revenue Bonds
Statutory €25,000 insurance indemnity bond facility exempting international and non-EEA directors from appointing a local Irish or European resident director. Fast-track underwriting and lodging with the Companies Registration Office.
The Statutory Requirement Explained
Under Section 137 of the Companies Act 2014, every company incorporated in the Republic of Ireland must have at least one director who is tax resident within the European Economic Area (EEA: 27 EU member states plus Iceland, Liechtenstein, and Norway). Physical tax residency—not nationality or citizenship—is the decisive legal criterion. Following Brexit, British citizens and UK residents are classified as non-EEA residents under Irish corporate law.
To enable non-resident founders to incorporate without surrendering board seats or appointing an EEA resident director, Irish law permits the procurement of a statutory Section 137 Non-EEA Director Bond.
€25,000 Indemnity Guarantee
The bond provides a secured insurance indemnity bond of €25,000 issued by an authorized insurance underwriter payable directly to the Revenue Commissioners and the CRO in the event of default on statutory liabilities.
Two (2) Year Validity Period
The bond remains valid for exactly two years from the incorporation date or the date on which the last EEA resident director resigned from the board of an existing company.
No Cash Deposit Required
Founders do not tie up €25,000 in capital. You simply pay the fixed underwriting premium (€1,600 with package or €2,100 standalone), and our underwriter executes the official bond certificate.
Statutory Liabilities Covered by the Bond
The Section 137 bond specifically indemnifies the Irish state against four statutory failure categories:
1. Companies Act Fines
Fines or administrative penalties imposed for defaults under the Companies Act 2014, including late annual return filings or accounting defaults.
2. Revenue Filing Penalties
Penalties arising from failure to file statutory tax returns or respond to formal compliance demands from the Revenue Commissioners.
3. Taxes Consolidation Act
Tax liabilities and penalties recoverable under Section 1071 or Section 1073 of the Taxes Consolidation Act 1997.
4. Recovery & Legal Costs
Legal and administrative expenses incurred by the CRO or Revenue in prosecuting statutory defaults or recovering outstanding fines.
What Happens at the 2-Year Anniversary?
When the initial 2-year bond expires, the company must maintain compliance via one of three statutory avenues:
Renew the Section 137 Bond
Execute a successive 2-year insurance underwriting bond for €2,100. No structural alterations to the board are required.
Appoint an EEA Resident Director
Appoint a qualified EEA tax-resident director (or engage our professional Irish resident director nominee service from €3,600).
Real & Continuous Link Certificate
Under Section 140 of the Companies Act, if your company establishes physical offices and local employees in Ireland, we apply to Revenue for an exemption certificate.
Non-Resident Director & Bond FAQ
Are UK resident directors required to hold a Section 137 Bond post-Brexit?
Do I have to deposit €25,000 in cash for the Section 137 Bond?
What is the Verification of Identity Form (VIF) requirement?
Can a company with a Section 137 Bond open an Irish bank account?
Apply for Your Section 137 Bond Today
Our CIMA-regulated team will prepare your underwriter bond application and CRO filings with rapid turnaround.