The Minister for Finance, Michael McGrath TD, has announced that, from 31 January 2024, PAYE taxpayers can claim the Mortgage Interest Tax Credit for 2023 through Revenue’s myAccount service. Self-assessed taxpayers will be able to claim the tax credit via the ROS Form 11 by mid-February 2024.
The 2023 Mortgage Interest Tax Credit is based on the increase in interest paid in 2023 over interest paid in 2022 and is available for homeowners with an outstanding mortgage balance on their principal private residence of between €80,000 and €500,000 on 31 December 2022 and who are compliant with Local Property Tax. The tax credit is the lower of 20 percent of the increased interest paid in 2023 compared to 2022, or €1,250.
To claim this tax credit, taxpayers are required to file a 2023 Income Tax Return and upload their certificates of mortgage interest for 2022 and 2023 together with confirmation of their mortgage balance at 31 December 2022.
It is estimated there are approximately 208,000 mortgages eligible for the tax credit. The projected cost of this temporary tax credit, introduced in Budget 2024, is €125 million on a once-off basis.
Speaking today, Minister McGrath said:
“The Government is acutely conscious of the impact increases in interest rates have had on many mortgage holders. In light of this, I introduced a temporary one year, targeted Mortgage Interest Tax Relief scheme as part of Budget 2024.
This forms a further element of a comprehensive package of cost of living supports in Budget 2024 which include energy credits, income tax and USC reductions, and welfare increases which are helping households throughout the country.
I am pleased to announce that PAYE taxpayers can now submit a claim for this relief by logging on to Revenue’s myAccount service and filing an income tax return for 2023. Self-assessed taxpayers will be able to claim the relief in mid-February.
Last week, I launched a public information campaign to raise awareness among taxpayers of the range of tax credits and reliefs available and how they can claim those credits and relief. As I have stated many times, I encourage all taxpayers to avail of the full suite of credits and reliefs available to them, including Mortgage Interest Tax Relief.”
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