Less than half of renters have claimed €500 rent tax credit

Revenue says some 190,000 of the 400,000 eligible people have claimed the rent tax credit so far. Stock picture

Less than half of renters have claimed the rent tax credit as the Government is considering upping the amount.

In preparation for lifting the eviction ban at the end of the month, speculation is mounting as to what promised extra supports for renters will look like.

There has been a suggestion that the renters' tax credit of €500 could be increased.

According to Revenue, more than 190,000 of the 400,000 people eligible have claimed the support so far — something which may impact the decision on whether or not to increase it.

The low number is believed to be partly due to landlords not being registered with the Residential Tenancies Board (RTB).

One of the questions on the application form is whether the property is registered with the RTB, and asks for the relevant RT number.

According to the RTB: "Tenants should take all reasonable steps to ensure that they provide as much information as possible, including their RT number, when making a claim for the rent tax credit.

However, they will be not be prevented from making a claim for the rent tax credit if they are unable to provide their RT number when making a claim and they have taken all reasonable steps to ascertain this number.

Tenants who cannot find their RT number can contact their landlord or agent to request a copy of their tenancy confirmation letter which should have been issued to both tenants and landlords at the beginning of the tenancy.

Another reason for renters not applying for the credit is simply that they may not be aware of the support at all or they may not realise that they are eligible for it.

Marian Ryan, consumer tax manager with Taxback.com, advises people to check their eligibility even if they think they don't qualify.

The rent tax credit is available to tenants as well as parents paying rent on behalf of a child who is living away from home while attending college.

Single people can claim up to €500 per year while married couples and civil partners can claim up to €1,000.

To claim the full rent credit, a single person must spend at least €2,500 a year on their rent and couples must spend at least €5,000.

Those living in a house-share should claim individually rather than as a group as each tax-paying tenant can claim the credit. However, those already availing of State housing supports such as HAP or rental accommodation scheme are ineligible.

Unusually, even though the measure was introduced late last year, renters can claim the rent credit for 2022.

A claim can be made to Revenue for the tax years 2022-2025 inclusive.

Some people who may have recently moved to Ireland may be unfamiliar with the system and require some assistance applying for the credit.

According to the RTB, landlords or agents are expected to help their tenants claim their entitlements. There are also services that can offer assistance such as the Citizens Information service.

How to apply 

To apply for the rent tax credit, users will need to log in to their online Revenue account and review their tax for 2022.

Here, a statement of liability will be available. Revenue will inform the taxpayer whether they have overpaid or underpaid for the year before asking them to fill out their income tax return for 2022.

The user will need to provide personal information and details of their income.

Then the Tax Credits and Reliefs page will appear and, under the list of all tax credits, the user will click into the You and Your Family section.

This is where the user can claim the rent tax credit. They will be asked questions including whether or not the property is registered with the RTB, and will be prompted to include the RT number.

When the application has been completed, the rent tax credit will be added to the list of existing credits for the year.