Government Considers Expanding Rent Tax Credit in Upcoming Budget
Dublin: Finance Minister Paschal Donohoe has indicated that the Rent Tax Credit may be extended and increased in the upcoming budget, ahead of its scheduled expiry at the end of this year.
The scheme, introduced in 2022, initially allowed individuals to claim €500 in tax relief. Over the past two years, this has risen to €1,000 for individuals and €2,000 for couples. According to indications from the minister’s statement yesterday, the new budget is likely to raise the credit further, potentially to €1,500 per individual and €3,000 per couple.
Minister Donohoe stressed the importance of maintaining the credit, noting that it provides significant relief to households struggling with rising rental costs.
While a range of popular measures had been anticipated in this year’s package, expectations have been tempered due to external economic pressures, including the threat of new US tariffs.
The forthcoming €9.4 billion budget package is expected to comprise €1.5 billion in tax reductions alongside €7.9 billion in additional spending, representing a 7.3% increase on last year’s budget.
Irish Samachar English News
Comments are closed.