Work in the IT sector? Here's how you can claim your Irish tax back!
Do you work in the Information Technology (IT) sector? If so you could be entitled to claim a significant tax refund!
Many IT workers in Ireland are often unsure of their tax refund entitlements. The result? Thousands of euros in refunds go unclaimed.
In fact, the average refund for IT workers in Ireland is €6,114.58!
Yes, you read that right – this means that as far as occupations go, IT has one of the highest average refunds in the country!
In this blog, we’ll outline some of the reliefs you may be eligible for if you work in IT!
Tax relief on IT courses and tuition fees
If you are undertaking a course on IT, you could be able to claim tax relief on some of the costs.
To qualify for tax refund, your course must:
- be part of the list of approved courses
- run for two years or less
- be completed with an award of a certificate of competence, not a certificate of attendance.
If eligible, you could be entitled to claim relief at the standard rate of tax (20%) where the fees range between €315 and €1,270.
However, it’s important to keep in mind that, if you receive funding for only some of the costs, you can only declare relief on the portion of fees that you pay yourself.
Working from home
Let’s face it, working from home has become the new normal for many Irish people following the outbreak of COVID-19.
The good news is that, if you work from home, you could be entitled to what’s known as E-worker relief.
In short, employers can pay €3.20 tax-free a day to their employees to cover the costs of working from home. However, it’s not a legal obligation for employers to do this.
If your employer decides not to do this, you can claim tax back on a number of household expenses (including heating, electricity and broadband).
All you need to do is calculate your total costs for the time you spent working from home only. You’ll be entitled to a percentage of this when you apply for a tax refund.
The average Irish tax refund is €1,880
Year of marriage
Tied the knot recently? Firstly, congrats! Secondly, you could be due a tax refund!
In the first year of your marriage, both you and your spouse will be treated as single people for tax purposes.
BUT, if the tax you pay as two single people is greater than what you would be paying if you were taxed as a married couple, you can claim the difference as a tax refund!
Refunds will be paid the following year. So that means if you were married in 2023, you’ll have your refund calculated after December 31st, 2023.
Medical expenses
Here are some examples of medical expenses that qualify for tax relief:
1. Doctor and Consultants Fees
This one is fairly well-known.
If you visit a doctor or consultant, you can claim 20% back on the cost as a tax refund. In other words, if you spent €500 on these bills over the last four years, you’ll be entitled to €100 in tax back.
2. Prescriptions
You’re entitled to claim relief on the costs of medication that a doctor prescribes to you.
Also, if a doctor prescribes you a certain diet, you may be able to claim for the costs on your tax return.
3. Physiotherapy
You will be able to claim tax back if you need to visit a physio, so long as you have a referral from a doctor.
This includes osteopaths, chiropractors, and even qualified acupuncturists.
4. Non-routine dentistry
You cannot claim relief on routine dental expenses. However, you can claim for non-routine dental expenses. Examples of non-routine dental procedures include:
- Crowns
- Veneers / etched fillings
- Tip replacing
- Posts
- Inlays
- Root canal treatments
- Periodontal treatment
- Orthodontic treatment
- Surgical extraction of impacted wisdom teeth (if undertaken in a hospital)
- Bridgework
Owed medical expenses?
In truth, this isn’t even the full list of medical expenses you can claim tax back on!
You can in fact claim tax back on maternity care, IVF, laser eye surgery, nursing home fees and much more.
You can find out more about that from our complete guide to claiming tax relief on medical expenses in Ireland.
Still got questions about tax?
No worries! Our Live Chat team are online 24/7 and more than happy to support you.
Whether it's understanding the nuances of IT course relief, maximizing your benefits as an E-worker, leveraging marriage-related tax breaks, or exploring the various medical expenses you can claim, we're here to assist you every step of the way.
Just get in touch today to ask any questions you have about filing tax returns in Ireland or claiming a tax refund!