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Taxes Consolidation Act, 1997 (Number 39 of 1997)

[1]>

216A Rent-a-room relief.

(1) In this section—

qualifying residence”, in relation to an individual for a year of assessment, means a residential premises situated in the State which is occupied by the individual as his or her sole or main residence during the year of assessment;

relevant sums” means all sums arising in respect of the use for the purposes of residential accommodation, of a room or rooms in a qualifying residence and includes sums arising in respect of meals, cleaning, laundry and other similar goods and services which are incidentally supplied in connection with that use;

residential premises” means a building or part of a building used as a dwelling.

(2) (a) This subsection applies if—

(i) relevant sums, chargeable to income tax under Case IV or Case V of Schedule D, arise to an individual (regardless of whether the relevant sums are chargeable to income tax under Case IV or Case V or under both Case IV and Case V), and

(ii) the amount of the relevant sums does not exceed the individual’s limit for the year of assessment.

(b) In ascertaining the amount of relevant sums for the purposes of this subsection no deduction shall be made in respect of expenses or any other matter.

(c) Where this subsection applies the following shall be treated as nil for the purposes of the Income Tax Acts—

(i) the profits or gains of the year of assessment, and

(ii) the losses of any such year of assessment, in respect of relevant sums arising to an individual.

(d) Where an individual has relevant sums chargeable to income tax under Case V of Schedule D and an election under subsection (3)(a) has not been made, an allowance under section 284, which would on due claim being made be granted, shall be deemed to have been granted.

(3) (a) Subsection (2) shall not apply for a year of assessment if an individual so elects by notice in writing to the inspector on or before the specified return date for the chargeable period (within the meaning of [8]>section 950<[8][8]>section 959A<[8]).

(b) An election under this subsection shall have effect only for the year of assessment for which it is made.

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(3A) Subsection (2) shall not apply for a year of assessment where the relevant sums arising to the individual are received from [7]>a child of the individual<[7][7]>a child of the individual or of the civil partner of the individual<[7].

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(3B) (a) Subsection (2) shall not apply for a year of assessment to relevant sums arising to—

(i) an individual, or

(ii) a person connected with the individual,

where the individual is an office holder, or employee, of—

(I) the person making the payment, or

(II) a person connected with the person making the payment.

(b) This subsection shall apply irrespective of whether the relevant sums are paid directly or indirectly by the person referred to in clauses (I) and (II) of paragraph (a) to the individual or to a person connected with the individual.

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(4) The provisions of the Income Tax Acts relating to the making of returns shall apply as if this section had not been enacted.

(5) Subject to subsections (6) and (7), the limit of an individual referred to in subsection (2) is [2]>£6,000<[2][5]>[2]>€7,620<[2]<[5][9]>[5]>€10,000<[5]<[9][10]>[9]>€12,000<[9]<[10][10]>€14,000<[10].

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(6) As respects the year of assessment 2001 the limit referred to in subsection (5) is £4,440.

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(7) Where relevant sums arise to more than one individual in respect of a qualifying residence the limits referred to in subsections (5) and (6) shall be divided by the number of such individuals.

(8) Where subsection (2) applies, the receipt of relevant sums shall not operate so as to restrict or reduce any entitlement to relief under section 244 or 604.

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[1]

[+]

Inserted by FA01 s32(1).

[2]

[-] [+]

Substituted by FA01 s32(2)(a). Applies as respects the year of assessment 2002 and subsequent years of assessment.

[3]

[-]

Deleted by FA01 s32(2)(b). Applies as respects the year of assessment 2002 and subsequent years of assessment.

[4]

[+]

Inserted by FA07 s14. Applies as respects the year of assessment 2007 and subsequent years of assessment.

[5]

[-] [+]

Substituted by FA08 s11. As respects the year of assessment 2008 and subsequent years of assessment.

[6]

[+]

Inserted by FA10 s13. Deemed to have come into force and takes effect as on and from 1 January 2010.

[7]

[-] [+]

Substituted by FA12 s134(1)(a). Applies to relevant sums (within the meaning of section 216A(1)) arising to an individual on or after 8 February 2012.

[8]

[-] [+]

Substituted by FA12 sched4(part2)(g).

[9]

[-] [+]

Substituted by FA14 s9. Comes into operation on 1 January 2015.

[10]

[-] [+]

Substituted by FA16 s13. Applies for the year of assessment 2017 and subsequent year of assessment.