Tax relief is a component in your tax bill that reduces the income on which you pay your tax. This is usually given as a refund of tax paid.
The amount of relief you pay depends on the rate of tax you pay.
Tax relief for refurbishing old properties
This tax relief aims to bring more families, shops and services back into ‘special regeneration areas’. This includes areas in the city centers of Dublin, Cork, Limerick, Galway, Waterford and Kilkenny.
The Living City initiative allows owners of houses that are at least 100 years old to claim tax relief for their refurbishment or conversion.
This relief is available at a rate of 10% per year for 10 years against your income. However, the property must meet the qualifying conditions and is only available where the property is the claimant’s only or main residence.
You can learn more about tax relief during our Startup Webinar.
Owners of commercial buildings can benefit from the scheme, if their property is within the designated “special regeneration area”. This applies even if it is not more than 100 years old.
The commercial element provides for tax relief over a 7 year period.
This relief is given by an accelerated capital allowance of 15% of qualifying expenditure for each of 6 years and 10% in year 7. This element of the relief applies only to the refurbishment or conversion of premises for the provision of retail and other services within the State.
The maximum level of actual tax relief which can be obtained in respect of any individual project is capped at €200,000.