I asked this question in AIB bank today when I was getting info on their new fixed term depost A/c and no one could answer me. I tried three different people and they did not know how to work it out. I would like to be able to work it out in future for myself,
thanks
I'm assuming this is their [broken link removed]. [broken link removed]
20% DIRT tax is due on all interest paid. 3.95% is the quoted annual rate, so that (less 20% DIRT) will be added to the account a year after you open it. On the maturity date 6 months later the final interest of less than (3.95%)/2 will be credited (again with 20% DIRT deducted afterwards.)