Cost of living: Thousands of people missing out on handy €1,000 cash boost

A lot of people reportedly don't claim this handy tax credit but don't miss out on a €1,000 per person boost - here's everything you need to know about how to claim it

Thousands of people are missing out on a handy €1,000 cash boost.

The Rent Tax Credit is one of the least claimed tax credits, but in Budget 2025 it was raised to €1,000 per person.

Don't miss out on the boost, especially in the midst of the ongoing cost of living crisis.

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Here's everything you need to know and how to claim.

What is the Rent Tax Credit?

If you pay rent, you may qualify for the Rent Tax Credit. The tax credit reduces the income tax you owe by the amount of the credit.

You can claim the tax credit for rent payments you made in 2022 or 2023 by making an income tax return. You can also claim the tax credit for payments made in 2024 if you are a PAYE taxpayer.

The Rent Tax Credit will be available for the years 2022 to 2025.

How much is it?

For 2024 and 2025, the amount of the credit is 20% of your rent payments in the year, up to a maximum credit of:

• €1,000 for an individual
• €2,000 for a couple who are jointly assessed for tax

(The 2024 limits were €750 and €1,500, but these were increased for the year retrospectively in Budget 2025.)

If a smaller amount would reduce your income tax to zero, that amount is the maximum credit you can get.

For 2022 and 2023, the credit was €500 for an individual and €1,000 for a couple.

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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, utilities or other services

How to apply

If you are a PAYE taxpayer, you can claim the tax credit for rent paid in 2022 or 2023 in myAccount:

1. Sign in to myAccount
2. Go to the ‘PAYE Services’ section
3. Click ‘Review your Tax 2020–2023’ and select year
4. Click ‘Request’ under the ‘Statement of Liability’ section
5. Click on ‘Complete Your Income Tax Return’
6. In the ‘Tax Credits & Reliefs’ page, select ‘You and your family’ and click on ‘Rent Tax Credit’
7. Enter the information requested

You can also claim for rent paid in 2024 if you are a PAYE taxpayer:

1. Sign in to myAccount
2. Go to the ‘PAYE Services’ section
3. Click ‘Manage Your Tax 2024’
4. Click 'Add new credits'
5. Under the 'You and Your family' section, claim the Rent Tax Credit

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