The Minister for Finance Michael McGrath T.D. has announced that PAYE taxpayers from 31 January 2024, can submit claims in respect of Mortgage Interest Relief for 2023.
It is estimated there are approximately 208,000 mortgages eligible for the relief. The projected cost is €125 million on a once off basis.
Under the terms of the scheme, Mortgage Interest Tax Relief is available for home owners with an outstanding mortgage balance on their principal private residence of between €80,000 and €500,000 on 31 December 2022 and who are compliant with Local Property Tax requirements.
The value of the relief will be equal to 20 per cent of the increased interest paid in 2023 compared to 2022, or €1,250, whichever is the lesser.
Where the interest payments made in respect of either the 2022 or 2023 tax years are not for a full year, pro-rating of the relief will apply, to ensure interest is applied on a period of equivalence basis and that the cap is adjusted accordingly. Revenue’s systems will carry out the calculation of the relief at the point of claim.
More information can be found on the following press release:
