Employing a carer
Amount of relief
The deduction is allowed at the individual’s marginal rate of income tax.
You may claim relief on whichever is the lower of:
- the actual cost of employing a carer
- or
- €75,000 per each incapacitated person.
You may claim relief in the first tax year that you prove you or a relative are totally incapacitated by physical or mental disability.
The example below shows the amount of relief that can be claimed for three years, from 2022 to 2024.
- Example
Claire employs a person to care for her incapacitated mother. Her mother became totally incapacitated on 1 May 2022. The employment costs are €4,500 each month. The employment costs increase to €6,500 in 2024.
The relief due is the lower of the actual cost of employing the carer or €75,000.
The table shows the relief Claire may claim for each year.
| Year | Actual cost of employing the carer | Maximum limit | Tax Relief |
|---|
|
2022
|
€36,000 (€4,500 x 8 months)
|
€75,000
|
The actual cost - €36,000
|
|
2023
|
€54,000 (€4,500 x 12 months)
|
€75,000
|
The actual cost - €54,000
|
|
2024
|
€78,000 (€6,500 x 12 months)
|
€75,000
|
The maximum relief - €75,000
|
You can claim the relief for employing a carer through myAccount or Revenue Online Service (ROS). You may be required to complete a Form HK1 in support of your claim.
Relief for employing a carer is granted by way of a deduction against taxable income. To benefit, you must have paid tax in the relevant year.
How to claim if you are a PAYE taxpayer
The quickest and easiest way to claim relief is through myAccount.
For 2020 and subsequent years, please follow these steps:
- sign into myAccount
- click on the 'Review your Tax for the previous 4 years' link in 'PAYE Services'
- request a Statement of Liability
- click on 'Complete Income Tax Return'
- on the 'Tax Credits & Reliefs' page, select 'You and your family' and then select 'Employing a Carer'
- complete and submit the form.
Most people who claim this relief online receive their tax refund, if due, within five working days.
If you are unable to use myAccount, please contact your Revenue office.
Next: Two or more people paying