Taxpayers to lose €500 a year union and rent claims
This will mean an annual loss in tax-back claims of up to €500 a year per person.
Revenue have been encouraging people to claim tax back on a range of items such as medical expenses and refuse charges. However, the scrapping of trade union subscriptions, and rent reliefs will significantly reduce the amount of tax given back to taxpayers.
Last year Revenue paid back €44 million on rent and €4.2m on trade union subscriptions.
An annual flat rate tax credit of €70 has been available on trade union subscriptions but this will be scrapped from next year.
For those living in rented accommodation relief at 20% of the annual rent paid, up to a maximum amount of €400, has been available. This will be phased out and will cease in 2017.
However, taxpayers will be able to claim tax back on the last four years if they have not done so already.
Income tax age credits and age exemptions are to be phased out over four years and the benefit-in-kind exemption on employer-provided childcare will also go next year. These measures will save €280m a year.
Also yesterday the Government said it was scrapping the accelerated allowance for capital expenditure on farm buildings for pollution control and the tax exemption for payments to National Co-operative Farm Relief Services.
The tax treatment for share options granted under an Approved Share Options Scheme in 2011 is to go.
There will be no change to the plans to phase out Mortgage Interest Relief by 2017.
