[Ireland] Remote workers claim €9.4m for broadband and heating

[Ireland] Remote workers claim €9.4m for broadband and heating
02 Jun 2021

Figures from the Revenue show that PAYE workers working from home have claimed €9.4m for tax relief to cover expenses like heating and broadband, Irish Examiner reports.

With COVID-19 restrictions forcing a large proportion of the Irish workforce to work remotely, Revenue has received approximately 71,184 claims for the dedicated tax relief which covers up to 10 per cent of the cost of electricity and heat incurred and 30 per cent of the cost of broadband. The figures average €132 per claim for 2021.

Employees who do not receive this allowance from their employer can make a claim for relief directly to the Revenue supplying receipts and bills. The final date for PAYE workers to file tax returns for 2020 is October 31. 

However, in figures supplied to the Irish Examiner, Revenue said that as of May 24, just over 593,200 PAYE taxpayers have filed a tax return for 2020. 

Revenue said that approximately 12 per cent of these returns contain a claim for ‘Remote Working Relief’ with a gross value of €9.4m," adding that the amount of relief a taxpayer will receive in respect of a ‘Remote Working Relief’ claim depends on the rate of tax they pay. If the taxpayer is liable for tax at the higher rate of 40 per cent, tax relief will be granted at that rate. Otherwise, tax relief will be granted at the standard rate of 20 per cent.

Tax specialists Taxback.com carried out a recent survey which reportedly found that just 28 per cent of taxpayers were aware of the Working from Home Relief. 

"As a nation, we simply are not aware of what’s available to us in tax reliefs and refunds; many of our European counterparts are streets ahead in this regard," Marian Ryan, consumer tax manager said.

"The limited number of people aware of the Work from Home allowance is surprising given that huge swathes of the Irish workforce are currently working remotely and would be eligible to claim for this."


Source: Irish Examiner

Figures from the Revenue show that PAYE workers working from home have claimed €9.4m for tax relief to cover expenses like heating and broadband, Irish Examiner reports.

With COVID-19 restrictions forcing a large proportion of the Irish workforce to work remotely, Revenue has received approximately 71,184 claims for the dedicated tax relief which covers up to 10 per cent of the cost of electricity and heat incurred and 30 per cent of the cost of broadband. The figures average €132 per claim for 2021.

Employees who do not receive this allowance from their employer can make a claim for relief directly to the Revenue supplying receipts and bills. The final date for PAYE workers to file tax returns for 2020 is October 31. 

However, in figures supplied to the Irish Examiner, Revenue said that as of May 24, just over 593,200 PAYE taxpayers have filed a tax return for 2020. 

Revenue said that approximately 12 per cent of these returns contain a claim for ‘Remote Working Relief’ with a gross value of €9.4m," adding that the amount of relief a taxpayer will receive in respect of a ‘Remote Working Relief’ claim depends on the rate of tax they pay. If the taxpayer is liable for tax at the higher rate of 40 per cent, tax relief will be granted at that rate. Otherwise, tax relief will be granted at the standard rate of 20 per cent.

Tax specialists Taxback.com carried out a recent survey which reportedly found that just 28 per cent of taxpayers were aware of the Working from Home Relief. 

"As a nation, we simply are not aware of what’s available to us in tax reliefs and refunds; many of our European counterparts are streets ahead in this regard," Marian Ryan, consumer tax manager said.

"The limited number of people aware of the Work from Home allowance is surprising given that huge swathes of the Irish workforce are currently working remotely and would be eligible to claim for this."


Source: Irish Examiner

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