The 60-second guide to... getting tax back on your costly rent
The cost of renting continues to spiral. The average rent in West Dublin, typically considered one of the more affordable parts of the capital to rent in, is now €1,300 a month - up from €900 in 2012, according to Daft.ie.
With costs like this, it's time you claimed your rent tax credit - if you haven't already done so. This credit is being phased out and its value has been chopped over the last few years. However, getting it will still put a few bob back into your pocket.
1 Check if you're eligible for the tax credit. You will only qualify if you have been paying for private rented accommodation since before December 7, 2010. You can still get the tax break if you entered a different rental agreement after that date - as long as you have been renting continuously. You can also get this tax relief if you are paying rent to your parents - or if renting property outside the State. You cannot claim tax relief for rent paid to a local authority.
2 To claim the credit, film out Form Rent 1 (which can be downloaded from revenue.ie) and send the form to your local tax office. You will need your PPS number - as well as the PPS number of your landlord or rental agent when filling out this form. Should you be unable to get your landlord's PPS number, you can still make the claim.
3 Should this be your first time claiming the credit, you can claim it for as far back as 2012 - but you can't go back any longer than that. A claim for tax relief must be made within four years after the end of the tax year to which the claim relates. So claims for 2012 must be made by December 31, 2016. You must have paid income tax during the year of your claim to get a refund.
4 Get a receipt from your landlord or letting agent for the rent paid as the Revenue Commissioners may ask for this to verify your claim. Hold onto this receipt for six years.
Sunday Indo Business