Distributing ETFs

[Hmm5673]

(This is basically out of curiosity)

So, DeGiro have a feature which shows you what the most popular stocks and ETFs on their platform in Ireland are (based on number of people holding them, I think). I was surprised to see that the _most_ popular ETF in Ireland (on DeGiro) was a distributing S&P500 one. My understanding was that the tax regime made distributing ETFs particularly unappealing; they're subject to the same tax as accumulating ones despite not benefiting from gross roll-up.

Am I missing something here? Why would anyone buy a distributing ETF (or at least a normal boring index fund one; it might be more attractive is wrapping very dividend-heavy stocks) over an accumulating one in Ireland?

 

[jpd]

The dividend payment is taxed at 41% as a fund

Dividends from shares are taxed at your marginal income tax rate + PRSI + USC so that could be over 41%

The dividend income may be welcomed and/or needed

Also, the ETF may be held by a pension fund or ither body of this type, and not be subject to Exit Tax

 

[Corola]

Degiro makes it so easy for the layman to buy complicated financial instruments, and most of the financial information online relates to the US. I imagine a lot of people aren't aware of the tax situation of ETFs and just invest in SP500 because it's popular on American forums.