Foreign Earnings Deduction (F.E.D.)
- Who can Claim?
- Conditions to Qualify
- Relief Due
- Exclusions
- Documentation Required
- Where to send claim
- Reference Material
- Additional Information
Who can Claim?
Any "resident" individual who spends time working abroad.
Conditions to Qualify
Period spent abroad must:
- Be 90 days or more and,
- Be part of a continuous absence of at least 11 days or more since 29/02/00 (14 days prior to that date) and,
- Be part of his/her duties of employment outside the State.
Relief Due
Maximum €31,750 (£25000) - 2000/01 onwards.
No maximum prior to 29/02/00 but special apportionment rules apply for 1999/00. This relief terminated on 31/12/2003.
F.E.D. calculated as follows: D x E/365
D = Number of Qualifying Days Abroad
E = All income from any office/employment in the year (excluding BIK, Preferential Loans, Severance Payments, Restrictive Covenants, Share Options).
Claim by review at the end of the tax year.
Exclusions
- Any absences in the United Kingdom.
- State Employees i.e. Civil Servants, Garda, Defence Forces etc.
Documentation Required
- Return of Income.
- Letter from employer outlining dates of departure/return and location of employment abroad.
Where to send claim
Use your PPS number to find the postal address for your Revenue office in our Contact Locator.
Reference Material
- Section 823 TCA 1997
- A guide to Irish income tax and capital gains tax liability based on some commonly asked questions by –
- individuals going to work and/or live abroad; or
- individuals coming to work and/or live in the State.
Additional Information
As and from 26/01/01 a qualifying day is a day, throughout the whole of which, the individual is absent from the State - not just midnight.
