Dáil Éireann Debate, Wednesday - 21 January 2026
81. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance if he will consider a case (details supplied) where a person has been refused the mortgage interest tax credit; and if he will make a statement on the matter. [4971/26]
Amharc ar fhreagraFinance Act 2023 introduced Mortgage Interest Tax Relief (MITR). MITR was originally made available for the 2023 year of assessment. Finance Act 2024, it was extended to include the year 2024. To continue the support, Finance Act 2025 provided for a further two-year extension on a tapered basis.
The relief is available to homeowners with an outstanding mortgage balance between €80,000 and €500,000 as of 31 December 2022. The relief extends to a qualifying property located in the State which is the sole or main residence of the individual’s former or separated spouse or civil partner or a dependent relative. Furthermore, the taxpayer must be compliant with Local Property Tax requirements.
The relief is available in respect of the increase in interest paid in 2023, 2024 and 2025 over interest paid in 2022. The amount qualifying for relief at the standard rate of tax (20%) is capped at €6,250 per property. This is equivalent to a maximum tax relief of €1,250 per property per annum. A reduced level of level of relief, a maximum of €625, will be available for the increase in interest paid in 2026 over interest paid in 2022, which can be claimed from 2027.
As the relief operates by way of a credit offset against the taxpayer’s income tax liability, an individual will only be in a position to benefit where they have paid sufficient Income Tax in the relevant tax year.
In relation to the specific case raised by the Deputy, I am advised by Revenue that the individual concerned did not have a sufficient income tax liability to set the credit against in 2024, therefore MITR cannot be used in that year.
This is the normal way in which tax credits operate.
Should the Deputy wish to contact Revenue directly on behalf of any taxpayer, he may do so via the Oireachtas Helpline, on (01) 858 99 99, Monday to Friday, from 09:30 to 17:00 or by email to oireachtashelpline@revenue.ie.
