AITI Chartered Tax Adviser
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What is rent relief?

You can claim relief in respect of rent (other than rent paid to a local authority or housing authority) paid for your residence.
You get a credit against your tax liability equal the lower of:

(a) the actual rent paid multiplied by the standard rate of tax,
(b) the specified limit multiplied by the standard rate of tax, and
(c) the amount which reduces your income tax liability to nil.

The specified limit means:

(a) If you are a jointly assessed married couple, one of whom is aged 55 or more, or if you are widowed and aged 55 or more, €6,000. This results in a maximum tax credit of €1,200. This relief is being reduced and phased out as follows:

2012: €4,800;
2013: €4,000;
2014: €3,200;
2015: €2,400;
2016: €1,600;
2017: €800.

If you are a married couple or widowed and aged under 55, the limit is €3,200. This results in a maximum tax credit of €640. This relief is being reduced and phased out as follows:

2012: €2,400;
2013: €2,000;
2014: €1,600;
2015: €1,200;
2016: €800;
2017: €400.

(b) If you are a single person aged 55 or more, €4,000. This results in a maximum tax credit of €800. This relief is being reduced and phased out as follows:

2012: €2,400;
2013: €2,000;
2014: €1,600;
2015: €1,200;
2016: €800;
2017: €400.

If aged under 55, the limit is €1,600. This results in a maximum tax credit of €800. This relief is being reduced and phased out as follows:

2012: €1,200;
2013: €1,000;
2014: €800;
2015: €600;
2016: €400;
2017: €200.

To claim the credit, you must include with your tax return:

(a) Your landlord’s name, address and tax number.
(b) The address of your rented residence.
(c) A copy or details of your letting agreement.
(d) A receipt for rent paid, or proof of payment together with the name and address of the person to whom you paid the rent.