380M Limit on deductions, etc., for hiring cars

This section provides for the allowable expenses arising from leasing a car:

• where the car is in category A or B then the lease amount is increased or reduced in the proportion which €24,000 (the specified amount) bears to the price of the car,
• where the car is in category C and costs less than the specified amount, the deduction is reduced by half and where greater than the specified amount, is reduced in the proportion which half the specified amount bears to the new price, and
• where the car is in category D, E or F, nil.

Relevant Date: Finance Act 2021