Retrofitting tax incentive for small-scale landlords welcomed

Tax credit will allow retrofit spending of up to €10,000 for each property to a maximum of two properties owned by landlord         

A new tax incentive is designed to help lower heating bills this winter without tenants needing to move out. 

Business group Chambers Ireland has welcomed a move by the Government for a tax incentive for small-scale landlords to refurbish properties, designed to help to lower heating bills this winter without tenants needing to move out.           

"The cost of housing and, increasingly, the cost of energy is leading to rising pay claims across the economy. There is a mismatch of incentives in the rental sector but this policy should make a significant difference to many households," said Chambers Ireland chief executive Ian Talbot.

Finance Minister Paschal Donohoe said the tax credit for landlords will allow for retrofitting spending of up to €10,000 for each property to a maximum of two properties owned by the landlord.   

Tax deduction

The tax deduction is in addition to the grants landlords can tap into under the Sustainable Energy Authority of Ireland (SEAI) scheme, but the landlord must first have claimed the SEAI grant. 

The Government said that the tax deduction was aimed to help the "continued participation of small-scale landlords in the rental market, an objective being progressed through Housing for All, the Government’s housing plan to 2030". 

"This will also assist in improving the quality and comfort of homes in the private rental sector and as such will be of benefit to individuals and families who are renting,” Mr Donohoe said.