Personal Tax Relief Ireland

This page has been developed to provide a broad outline of the many personal tax-relief options available in Ireland.

Other sections on this page:
| Agri | Carer | Child Care | Education | Gift & Inheritance | Health | Income Tax | Medical | Pensions | Property | Savings | Stamp Duty | Value Added Tax |

Agri

Relief TypeNotesResource
Young trained farmerRelief from stamp duty on the transfer of an interest in agricultural land to certain farmers who are under 35 years of age and who hold a relevant agricultural qualification (known as young trained farmers)www.revenue.ie

Carer

Relief TypeNotesResource
Dependent relative credit You may claim this credit if you maintain a relative at your own expensewww.revenue.ie
Employing a carer You may claim tax relief on the cost of employing a carer to take careof yourself, family member or relativewww.revenue.ie
Homecarer creditYou can claim the Home Carer Tax Credit if you are married or in a civil partnership, and you care for one or more dependentwww.revenue.ie

Child Care

Relief TypeNotesResource
Exempt income foster care paymentsUnder the new section, certain payments made on behalf of the Child and Family Agency to carers, foster parents, relatives and young persons who are transitioning from care are exempt from income tax.www.revenue.ie
Exemption from tax of certain social welfare payments: child benefitRevenue (revenue.ie) provides further clarification on this. www.revenue.ie
Exemption from tax of certain social welfare payments: early childcare supplement Revenue (revenue.ie) provides further clarification on this. www.revenue.ie
Exemption erom tax of certain social welfare payments: maternity allowance Revenue (revenue.ie) provides further clarification on this. www.revenue.ie
Incapacitated child tax creditThe Incapacitated Child Tax Credit is available to the parent or guardian of a child: who is permanently incapacitated, either physically or mentally. and. where there is a reasonable expectation that the child will be unable to maintain themselves when over 18www.revenue.ie
Single person child carer tax creditOnly one parent or guardian of a child can claim the SPCCC in a tax year. www.revenue.ie

Education

Relief TypeNotesResource
Approved Training Courses/Third Level Education FeesYou can claim tax relief on fees (including the student contribution) that you have paid for third level education courses.www.revenue.ie

Gift & Inheritance

Relief TypeNotesResource
Dwelling House ExemptionAn inheritance or a gift to a dependent relative of a dwelling house is exempt from capital acquisitions tax (CAT) where certain conditions are satisfied.www.revenue.ie
Favouite Nephew ReliefYou may qualify for favourite nephew or niece relief if you receive a gift or inheritance of business assets. The relief allows the use of the Group A threshold. This is subject to conditions.www.revenue.ie
Small Gifts ExemptionYou may receive a gift up to the value of 3,000 from any person in any calendar year without having to pay Capital Acquisitions Tax (CAT). This means that you may take a gift from several people in the same calendar year and the first 3,000 from each disponer is exempt from CAT.www.revenue.ie

Health

Relief TypeNotesResource
Contributions under permanent health benefit schemes, after deduction of tax on benefits receivedYou can claim relief for contributions to Permanent Health Benefit Schemeswww.revenue.ie

Income Tax

Relief TypeNotesResource
Additional Bereavement Credit to Widowed Parent or Surviving Civil PartnerYou can claim the widowed person or surviving civil partner tax credit in the years following your spouse's or civil partner's death. ... If you have qualifying children you may also claim the additional Widowed Parent Tax Credit. You can claim this credit for five years after the year of death.www.revenue.ie
Additional Personal Credit for Lone ParentThe Single Person Child Carer Credit (SPCCC) is a tax credit for people who are caring for children on their own. It came into effect on 1 January 2014. It replaced the One-Parent Family Tax Credit.www.revenue.ie
Age CreditYou can claim the Age Tax Credit if you or your spouse or civil partner is over 65 years old.www.revenue.ie
Age Exemption with child additionIf you are not married or in a civil partnership, you are exempt from income tax where your total income is less than the exemption limit or you are 65 or older. And where there are dependent children, your exemption limits are increased by 575 per child for your first two children and 830 per child for each additional child.www.revenue.ie
Allowance for seafarersYou are entitled to an allowance of 6,350, which is available at your highest rate of tax and is set against your seafarer income. You cannot use the allowance against any other incomewww.revenue.ie
Approved Profit Sharing Schemes A Revenue Approved Profit Sharing Scheme provides a mechanism whereby a company may appropriate shares to its employees and the employee is, subject to certain conditions, exempt from the income tax charge on the share appropriation.www.revenue.ie
Blind Person's or civil partners credit (incl. Guide Dog Allowance)If you have certain visual impairments you can claim the Blinds Person's Tax Credit. If you have a guide dog, you can apply for the Guide Dog Allowance. In addition, refunds are available for Value Added Tax that is paid on certain aids and appliances.www.revenue.ie
Dispositions (including maintenance payments made to separated spouses)A maintenance payment for the benefit of a separated spouse is taxable for the receiving spouse. The paying spouse does not pay tax on it; it may be deducted from their taxable income.www.revenue.ie
Earned income creditThe Earned Income Credit is allowed in respect of the pay that you earn. It is a separate credit to the Employee Tax Credit in that it can also be claimed by people who are self-employed.www.revenue.ie
Employee (PAYE) creditIf you are in employment, tax on your income is deducted by your employer on behalf of the Revenue Commissioners. This system of deduction is known as the Pay As You Earn (PAYE) system. All PAYE taxpayers are entitled to a tax credit known as the Employee Tax Creditwww.revenue.ie
Employment and investment incentive (EII) EII is a tax relief which aims to encourage individuals to provide equity based finance to trading companies.www.revenue.ie
Exempt income Rent-a-RoomIf you rent a room in your house, the income you receive from tenants may be exempt for tax if you meet certain criteria. Only individuals can claim this relief, companies and partnerships cannot avail of Rent-a-Room relief.www.revenue.ie
Exemption for veterans of the war of independence, their widows or dependents Exemption from income tax is granted in respect of any pension, allowances, benefits or gratuities in so far as it related to relevant military service of a veteran of the War of Independence which is paid under the relevant legislation. The exemptions cover payments to veterans, their widows and dependants. Any such pension, allowance, benefit or gratuity is ignored in computing the recipient s total income for the purposes of the Income Tax Acts.www.revenue.ie
Exemption of certain earnings of writers, composers and artists Revenue (revenue.ie) provides further clarification on this. www.revenue.ie
Exemption of employers' contributions from employee BIK Revenue (revenue.ie) provides further clarification on this. www.revenue.ie
Exemption of Irish government securities where owner not ordinarily resident in IrelandGovernment securities and securities issued by certain local authorities and statutory bodies are exempt from either gift or inheritance tax tax if they are taken by a beneficiary who is neither domiciled nor ordinarily resident in the state (further details avaialbl on Revenue)www.revenue.ie
Exemption of statutory redundancy payments Lump sum payments on a redundancy or retirement qualify for special tax treatment - they may be exempt from tax or may qualify for some relief from tax.www.revenue.ie
Fisher tax creditThe Fisher Tax Credit may be claimed by Irish residents assessable to income tax under Schedule D or Schedule E, (i.e. an employee or self-employed).www.revenue.ie
Foreign Earnings Deduction (FED)If you are resident in Ireland for tax purposes, but spend some time working abroad, you may be able to claim FED. There are certain conditions that you must meet in order to qualify.www.revenue.ie
Married or a civil partners person's credit Both spouses or civil partners get tax credits and the same standard rate cut-off pointwww.revenue.ie
Relief for new shares purchased by employeeAn employer needs Revenue approval to set up an approved scheme. Any shres awarded or options granted under these approved schemes are exempt from Income Taxwww.revenue.ie
Revenue job assist allowanceRevenue Job Assist was available to help people who were unemployed for 12 months or more to take up a job. www.revenue.ie
Single person's credit You are due a Personal Tax Credit if you are resident in Irelandwww.revenue.ie
Special assignee relief programme (SARP)SARP provides Income Tax (IT) relief for certain people who are assigned to work in Ireland from abroad.www.revenue.ie
Split year reliefYou can claim 'split-year treatment' in the year of departure. This means that you continue to be treated as resident up to the date of departure. All your employment income up to that date is taxed in the normal way. Your employment income from the date of departure is ignored for Irish tax purposes.www.revenue.ie
Widowed person or surviving civil partner credit May claim a proportion of other credits up to date of death. Check Revenue.ie for further detailswww.revenue.ie
e-working relief In order for an employee to qualify as an e-worker, for the purposes of claiming income tax relief for expenses incurred in working from home, the following conditions must be met. There must be a formal agreement in place between the employer and the employee under which the employee is required to work from home; An employee must be required to perform substantive duties of the employment at home; and An employee must be required to work for substantial periods at homewww.revenue.ie

Medical

Relief TypeNotesResource
Health expensesYou can claim health expenses relief on the amount you pay yourself. www.revenue.ie
Health expenses (nursing homes only)Where the expenditure incurred relates to nursing home costs relief will only be allowed where the nursing home provides access to 24-hour nursing care on-site. Relief in respect of qualifying nursing home expenditure is allowed at an individual s marginal rate of taxwww.revenue.ie
Medical insurance relief If you pay medical insurance directly to an approved insurer, tax relief is available.www.revenue.ie

Pensions

Relief TypeNotesResource
Employees' contributions to approved superannuation schemesOrdinary annual contributions paid by an employer to an exempt approved scheme are allowed as a deduction for tax purposes. www.revenue.ie
Exemption of investment income and gains of approved superannuation funds Exempts from capital gains tax gains from the disposal of investments held as part of an approved superannuation fund, the assets of a Personal Retirement Savings Account (PRSA) or investmentswww.revenue.ie
Pension contribution (Retirement Annuity and PRSA)You can get Income Tax (IT) relief against earnings from your employment for your pension contributions (including Additional Voluntary Contributions (AVCs))www.revenue.ie
Personal Retirement Savings Accounts You can get Income Tax (IT) relief against earnings from your employment for your pension contributions (including Additional Voluntary Contributions (AVCs))www.revenue.ie
Retirement annuity premiums You may claim tax relief for premiums that you pay to a Retirement Annuity Contract (RAC). Your RAC must be approved by Revenue for tax purposes. www.revenue.ie
Retirement relief for certain sports personsQualifying sportspersons will be entitled to a deduction from total income for up to any 10 of the years of assessment claimedwww.revenue.ie
Tax relief on "tax free" lump sumsFurther information available at Revenue.iewww.revenue.ie

Property

Relief TypeNotesResource
Help-to-Buy SchemeThe incentive will give you a refund of Income Tax and Deposit Interestwww.revenue.ie
Home renovation incentive scheme The Home Renovation Incentive (HRI) is a relief from Income Tax (IT) for homeowners, landlords and local authority tenants. www.revenue.ie
Relief for expenditure on significant buildings and gardens An approved building, garden, or object is one which is of a substantial scientific, historical and architectural interest. www.revenue.ie
LPT exemptions Certain properties are exempt from Local Property Tax (LPT) if they meet the qualifying conditions.www.revenue.ie
LPT deferralsIn certain circumstances you can defer or partially defer the payment of your Local Property Tax (LPT).www.revenue.ie

Savings

Relief TypeNotesResource
Approved Save as You Earn Schemes (SAYE)Employees will save with a qualifying institution under a SAYE contractual savings scheme, for a period of three, five or seven years. The employer will deduct the savings amount from the employees' net salary, and place the savings on deposit with an approved bank or savings institution.www.revenue.ie
Approved Share Option SchemesIf your employer operates an APSS they may allocate tax-free shares to you, provided you meet certain conditions. Your employer can only allocate up to 12,700 in tax-free shares to you annually. www.revenue.ie
Exemption of interest on savings certificates, national instalment saving & index linked savings bondsExemption of interest on savings certificateswww.revenue.ie
Savings related share option schemesThere are two types of Revenue approved employee share schemes:Approved Profit-Sharing Schemes (APSS),Save As You Earn (SAYE) schemes.If your employer operates an APSS they may allocate tax-free shares to you, provided you meet certain conditions. Your employer can only allocate up to 12,700 in tax-free shares to you annually. www.revenue.ie

Stamp Duty

Relief TypeNotesResource
Transfers between spouses/civil partnersYou do not pay Stamp Duty on an instrument (written document) that transfers property between you and your spouse. You can claim this relief even if you and your spouse are separated. www.revenue.ie
Property transfer between spouses/civil partners on foot of court ordersIf you are separated or divorced, a court may order property to be transferred between you and your ex-partner. You will not have to pay Capital Acquisitions Tax (CAT) on these court ordered property transfers.www.revenue.ie

Value Added Tax

Relief TypeNotesResource
Disabled equipmentThe relief may apply where other persons purchase such goods for the sole ownership, possession, and the exclusive use of a named person or persons with disabilities.www.revenue.ie
Disabled car driversA remission or repayment of Value Added Tax and Vehicle Registration Tax may be claimed by a driver, a passenger, a family member residing with or responsible for the transportation of a passenger who has a primary medical certificate (PMC) whose purpose is to provide services to persons with disabilities. The vehicle must be specially constructed or adapted to carry the PMC holder. At any given time only one vehicle can qualify for the scheme per driver or passenger.www.revenue.ie
Disabled vans driversA remission or repayment of Value Added Tax and Vehicle Registration Tax may be claimed by a driver, a passenger, a family member residing with or responsible for the transportation of a passenger who has a primary medical certificate (PMC) whose purpose is to provide services to persons with disabilities. The vehicle must be specially constructed or adapted to carry the PMC holder. At any given time only one vehicle can qualify for the scheme per driver or passenger.www.revenue.ie
Disabled car passengersA remission or repayment of Value Added Tax and Vehicle Registration Tax may be claimed by a driver, a passenger, a family member residing with or responsible for the transportation of a passenger who has a primary medical certificate (PMC) whose purpose is to provide services to persons with disabilities. The vehicle must be specially constructed or adapted to carry the PMC holder. At any given time only one vehicle can qualify for the scheme per driver or passenger.www.revenue.ie
Disabled vans passengers A remission or repayment of Value Added Tax and Vehicle Registration Tax may be claimed by a driver, a passenger, a family member residing with or responsible for the transportation of a passenger who has a primary medical certificate (PMC) whose purpose is to provide services to persons with disabilities. The vehicle must be specially constructed or adapted to carry the PMC holder. At any given time only one vehicle can qualify for the scheme per driver or passenger.www.revenue.ie

This page should be used only for general references purposes only. Users should also consult with qualified experts for advice. All information as published by Revenue.ie as of 11/11/2020.

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