Tax credits: What Ones Are Available & What Are Your Missing?
Did you know that €180 million worth of tax credits went unclaimed in the 2022 tax year?
There are many tax credits and reliefs that individuals either ignore or are unaware of, with this estimate coming from Revenue highlighting a stark number of people not redeeming tax credits that they are entitled to.
If you are not redeeming tax credits, now might be the time to take a look at what you may be entitled to, ensuring you are not missing out on a tax refund.
Keep reading to learn more about some of the refunds you could benefit from.
Medical Expenses:
Tax relief may be claimed on ‘qualifying health expenses’ which are not reimbursed by an insurance provider. Qualifying health expenses include a range of medical costs, such as doctor’s and consultants services, prescription costs, nonroutine dental treatment, routine and maternity care for women during pregnancy, nursing home fees, laser eye treatment costs and certain food products for coeliacs and/or diabetics.
Remote Working Relief:
An employer may make a tax-free payment of €3.20 per day to an employee to cover the additional cost of working from home.
If an employer does not pay this, employees claim tax relief on expenses on heating, electricity and broadband for the days spent working at home.
Home Carer Credit:
Is a tax relief for married couples or civil partners (where they are assessed Jointly for tax purposes), where one person stays at home caring for a dependent person. The maximum value of the credit for 2024 is €1,800.
Rent a Room Relief:
You can earn rental Income of up to €14,000 per annum tax-free in respect of the letting, for residential purposes, of a room or rooms in your home.
Third-level tuition fees:
Tax relief may be claimed on fees for third-level courses in respect of qualifying fees which include tuition fees and the student contribution. It does not include examination fees, registration fees or administration fees in respect of Third Level courses.
Rent Tax Credit:
The rent tax credit is available for the years 2022 to 2025 inclusive. The amount of the credit is 20% of rent paid on a residence in a tax year, subject to a maximum limit of €750 per individual or €1,500 per couple who are jointly assessed for tax.
Mortgage Interest Tax Credit:
Announced in the October 2023 Budget as a one-year tax credit. to be eligible, you need to have an outstanding mortgage of between €80,000 -€500,000 at the end of 2022, and you must also have paid more interest in 2023, than you did in 2022.
Managing taxation is an important part of financial planning, ensuring that you are not simply reacting to tax bills as they arrive, allowing you to plan ahead for the future.
Talk to our team for tailored Tax Advice and Planning today or learn more here.
