> TAX_PLAYBOOK · 2027

The rich don’t pay less tax by accident. Neither should you.

Every relief here is legal, documented by Revenue and claimable. None of it applies to everyone — so each one says who it’s for and who it isn’t.

General information, not tax advice. These are the published rules. Whether one applies to you depends on your circumstances — for anything structural (companies, property, large pension contributions), talk to a chartered tax adviser or accountant first.

Pension relief: your numberCALCULATED

€
€
Tax saved
€1,600
Real cost
€2,400
Max with relief
€13,000
20% at 35
Take-home without pension€4,019/mo
Take-home with pension€3,819/mo

Pension

Pension contributions

FACT

Relief at your marginal rate: €100 costs €60 at 40%, €80 at 20%. Limit: 15% / 20% / 25% / 30% / 35% / 40% of earnings by age band (<30, 30s, 40s, 50–54, 55–59, 60+), on earnings up to €115,000.

APPLIES IF
  • You pay income tax (relief is against income tax only).
  • You contribute to an occupational scheme, PRSA, or personal pension (RAC).
NOT FOR YOU IF
  • You need the money before retirement — it’s locked in.
  • You’re in auto-enrolment: those contributions get a State top-up instead of tax relief.
  • USC and PRSI are not relieved.
HOW

Via payroll (net pay arrangement) relief is immediate. For a personal pension or AVC paid directly, claim through myAccount. Contributions paid by the annual tax return deadline (31 October; mid-November via ROS) can be backdated to the previous tax year.

Revenue — Pensions

Ask for employer pension instead of (some) salary

FACT

An employer contribution is not taxed as your income and carries no employer PRSI — so €1,000 costs your employer less than €1,000 of salary, and none of it goes to tax on the way in.

APPLIES IF
  • You’re negotiating a raise or a new offer.
  • You’d save the money anyway.
NOT FOR YOU IF
  • You need the cash now.
  • You’re near the Standard Fund Threshold.
HOW

Ask HR whether they’ll increase their contribution as part of the package. Get it confirmed in writing.

Revenue — Pensions

Credits you’re probably missing

Rent Tax Credit

FACT

Up to €1,150 a year (€2,300 for a jointly assessed couple), capped at 20% of rent paid. Extended to the end of 2028. Can be claimed for earlier years.

APPLIES IF
  • You pay rent on your home (registered with the RTB), or for a student’s accommodation.
  • You pay enough income tax to use the credit.
NOT FOR YOU IF
  • Your landlord is your parent or child (limited exceptions apply).
  • You receive housing supports covering the rent (HAP, RAS).
HOW

Claim in Revenue myAccount (PAYE services → Review your tax → Rent Tax Credit). You need the landlord’s RTB number or address details.

Revenue — Tax credits and reliefs (Rent Tax Credit)

Remote working relief

FACT

30% of vouched electricity, heating and broadband costs, apportioned by the days you worked from home, relieved at your marginal rate.

APPLIES IF
  • You work from home under an arrangement with your employer.
  • You pay the household bills (can be split if shared).
NOT FOR YOU IF
  • Your employer already pays you the €3.20/day tax-free e-working allowance — the relief is reduced by it.
HOW

Claim at year end in myAccount. Keep the bills.

Revenue — Tax credits and reliefs (Remote working)

Medical expenses

FACT

20% of qualifying costs: GP and consultant fees, prescriptions, physio, some dental (not routine cleaning/fillings). Claim back up to 4 years.

APPLIES IF
  • You paid medical costs not reimbursed by insurance or the State.
NOT FOR YOU IF
  • The cost was covered by health insurance.
  • Routine dental and optical care.
HOW

Claim in myAccount (Health and medical expenses). Keep receipts for 6 years.

Revenue — Tax credits and reliefs (Health expenses)

Flat-rate employment expenses

FACT

A fixed deduction set by Revenue for specific jobs (e.g. nurses, teachers, retail, construction trades), relieved at your marginal rate.

APPLIES IF
  • Your occupation is on Revenue’s list.
NOT FOR YOU IF
  • Your job isn’t listed.
HOW

Check the list, then add it in myAccount → Manage your tax → Flat Rate Expenses.

Revenue — Tax credits and reliefs (Flat rate expenses)

Home Carer Tax Credit

FACT

Up to €2,050 a year for a married/civil couple, jointly assessed, where one partner cares for a dependent at home.

APPLIES IF
  • You’re jointly assessed and one of you cares for a child, someone 65+, or a person with a disability.
NOT FOR YOU IF
  • The carer’s own income is above the limit (the credit reduces as their income rises).
  • You’re already claiming the increased standard rate band for a second earner — you get whichever is better, not both.
HOW

Claim in myAccount. Revenue applies whichever of this or the increased band suits you better.

Revenue — Tax credits and reliefs (Home Carer)

Salary sacrifice & perks

Small Benefit Exemption

FACT

Your employer can give up to €1,500 a year in non-cash benefits (e.g. vouchers), up to 5 benefits, with no tax, USC or PRSI.

APPLIES IF
  • Your employer is willing — it’s their discretion.
NOT FOR YOU IF
  • It replaces salary you’re owed (salary sacrifice for vouchers isn’t allowed).
  • It’s paid in cash.
HOW

Ask for part of a bonus as vouchers. €1,500 in vouchers is worth roughly what €2,800 of salary is at the 40% rate.

Revenue — Benefits in kind (Small Benefit Exemption)

Cycle to Work & TaxSaver commuter tickets

FACT

Bike via salary sacrifice: up to €1,250 (€1,500 e-bike, €3,000 cargo bike) once every 4 years. TaxSaver annual public transport tickets also by salary sacrifice. Saves income tax, USC and PRSI on the cost.

APPLIES IF
  • Your employer runs the scheme.
  • You’d buy it anyway.
NOT FOR YOU IF
  • You’d be buying something you don’t need to “save tax”.
HOW

Through your employer’s scheme; the cost comes out of gross pay.

Revenue — Benefits in kind

Property

Rent-a-Room relief

FACT

Up to €16,000 a year from renting a room in your own home, free of income tax, USC and PRSI.

APPLIES IF
  • It’s your principal private residence.
  • The tenant stays long-term (or is a student/host-family arrangement).
NOT FOR YOU IF
  • Short-term lets (Airbnb-style) don’t qualify.
  • Gross income over the limit: the whole amount becomes taxable.
  • Renting to your own child.
HOW

Declare it on your tax return even though it’s exempt.

Revenue — Rental income

Landlord deductions & rental income relief

FACT

Mortgage interest, repairs, insurance, LPT, agent fees and RTB fees are deductible. Rental income relief: a credit of 20% of rental profit up to €1,000 in 2027.

APPLIES IF
  • The tenancy is registered with the RTB (needed for interest deductibility).
NOT FOR YOU IF
  • Capital repayments are never deductible.
  • Rental losses only carry forward against future rental profit — they don’t reduce tax on your salary.
HOW

Through your Form 11 (or Form 12 for small amounts). Model it in the property calculator.

Revenue — Rental income

Mortgage Interest Tax Credit (final year)

FACT

For 2026: credit on the increase in interest paid over 2022, max €625 per property (was €1,250 for 2025). Not continued beyond 2026 under current law.

APPLIES IF
  • Principal private residence mortgage with a balance between €80,000 and €500,000 on 31 December 2022.
NOT FOR YOU IF
  • Your interest didn’t rise over 2022 levels.
  • Buy-to-let mortgages.
HOW

Claim in myAccount after the year ends; you need your lender’s interest statements.

Revenue — Tax credits and reliefs (Mortgage Interest Tax Credit)

Investing

Shares: use the CGT exemption and losses

FACT

First €1,270 of gains each year is exempt; then 31%. Losses on shares offset gains and carry forward.

APPLIES IF
  • You hold individual shares (not funds/ETFs).
NOT FOR YOU IF
  • EU-domiciled ETFs and funds fall under exit tax (35% from 2026) instead — no annual exemption, no loss relief, deemed disposal every 8 years.
  • Bed-and-breakfasting: selling and rebuying within 4 weeks blocks the loss.
HOW

Pay CGT by 15 December for gains made January–November, and by 31 January for December gains. File on Form 11 or CG1.

Revenue — Capital Gains Tax

Structure

Sole trader vs limited company

GET ADVICE

Company trading profit is taxed at 12.5% while it stays in the company. Taking it out (salary or dividends) is taxed at personal rates. The saving is in deferral and pension funding — not a magic lower rate.

APPLIES IF
  • Your business profit is well above what you need to live on.
  • You’ll leave profit in the company or fund a company pension.
NOT FOR YOU IF
  • You need all the profit personally — extraction tax wipes out most of the gain.
  • Professional services companies can face a 15% surcharge on undistributed income.
  • Low profits: accountancy and compliance costs (often €1,500–€3,000+ a year) outweigh the benefit.
HOW

Model it with an accountant using your real numbers before incorporating. Reversing a company is harder than starting one.

Revenue — Self-assessment and self-employment
Figures are the Budget 2027 rules announced on 6 October 2026, which apply from 1 January 2027. They become law with Finance Act 2026; switch to 2026 for this year's pay. Rules last checked 2026-10-24. All sources →