Rent Tax Credit
What is the Rent Tax Credit?
A new Rent Tax Credit was introduced on 15 December 2022. If you pay income tax, the tax credit reduces your tax by the amount of the credit.
You can claim the tax credit for rent payments you made in 2022 by making an income tax return for 2022.
The Rent Tax Credit will be available for the years 2022 to 2025.
How much is the Rent Tax Credit?
The amount of the credit is 20% of your rent payments in the year, up to a maximum credit of:
- €500 for an individual
- €1,000 for a couple who are jointly assessed for tax
If a smaller amount would reduce your income tax to zero, that amount is the maximum credit you can get.
If a number of tenants pay the rent for a property, each individual or couple can claim the Rent Tax Credit for the rent they pay.
You cannot claim for payments for:
- A security deposit
- Repairs or maintenance
- Board, laundry or other services
Can I claim the Rent Tax Credit?
You can claim the credit for rent payments you have made for:
- Your home.
- A second home that you use to take part in your work or an approved course (a course that is eligible for tax relief on third-level fees)
- A property that is used by your child to take part in an approved course, if they are under 23 at the start of their first year
You cannot claim for rent payments on a property that you get housing support for, including:
Registration of your tenancy
Your tenancy must be registered with the Residential Tenancy Board (RTB), unless it is a type of tenancy where this is not required, called a licence arrangement. This includes where you are sharing with the owner in a rent-a-room or digs arrangement.
In some cases, only the types of tenancies that must be registered with the RTB are eligible for the credit. This applies if:
- You are related to your landlord or
- You are claiming for a property that is used by your child
Your landlord must not be:
- A housing association or approved housing body
- A local authority
- Your parent
- Your child
If the property is used by your child to attend a course, the landlord cannot be any relation to you or your child.
How to claim the Rent Tax Credit
If you are a PAYE taxpayer, you can claim the tax credit for rent paid in 2022 in myAccount:
- Sign in to myAccount
- Go to the ‘PAYE Services’ section
- Click ‘Review your Tax 2019–2022’ and select 2022
- Click ‘Request’ under the ‘Statement of Liability’ section
- Click on ‘Complete your Income Tax Return’
- In the ‘Tax Credits & Reliefs’ page, select ‘You and your family’ and click on ‘Rent Tax Credit’
- Enter the information requested
For rent paid in 2023, it will be possible to claim the tax credit before the end of the year using Revenue’s Real-Time Credit facility.
If you are self-assessed
- Sign into ROS
- Open the ‘My Services’ screen
- Click on ‘File Return’
- Select ‘Income Tax’ from the dropdown menu
- Select the 2022 tax year
- Go to the ‘Rent Tax Credit’ section of the tax return and enter the information requested
Revenue has published a detailed guide to the Rent Tax Credit (pdf).