Home Carer Tax Credit

Home Carer Tax Credit rates

The Home Carer Tax Credit rate is €1,600 for 2021.    

To see rates for previous years, see the Tax rates, bands and reliefs charts.

If you earn less than €7,200, then you can claim the full tax credit available. The amount you earn does not include Carer's Allowance, from the Department of Social Protection (DSP).   

If you earn more than €7,200, you will receive a reduced tax credit. In this case, the total tax credits available will be reduced by one half of the difference between your income and €7,200.

If your income is €10,400 or more during 2021 then you cannot claim the tax credit.

Home Carer Tax Credit sliding scale

If your income exceeds €7,200, the difference between your actual income and €7,200 is calculated and then halved. The Home Carer Credit is then reduced by that amount. The following table gives examples of how the tax credit is calculated for different levels of income.

Examples of how the tax credit is calculated for different levels of income
Income of home carerDifference between income
and €7,200
Half of differenceReduced tax credit 
€7,200 €7,200 - €7,200 = €0 €0 €1,600 - €0 = €1,600  
€7,450 €7,450 - €7,200 = €250 €250 ÷ 2 = €125 €1,600 - €125 = €1,475  
€7,700 €7,700 - €7,200 = €500 €500 ÷ 2 = €250 €1,600 - €250 = €1,350  
€7,950 €7,950 - €7,200 = €750 €750 ÷ 2 = €375 €1,600 - €375 = €1,225   
€8,200  €8,200 - €7,200 = €1,000 €1,000 ÷ 2 = €500 €1,600 - €500 = €1,100  
€8,450 €8,450 - €7,200 = €1,250 €1,250 ÷ 2 = €625 €1,600 - €625 = €975  
€8,700 €8,700 - €7,200 = €1,500 €1,500 ÷ 2 = €750 €1,600 - €750 = €850  
€8,950 €8,950 - €7,200 = €1,750 €1,750 ÷ 2 = €875 €1,600 - €875 = €725  
€9,200 €9,200 - €7,200 = €2,000 €2,000 ÷ 2 = €1,000 €1,600 - €1,000 = €600  
€9,450 €9,450 - €7,200 = €2,250 €2,250 ÷ 2 = €1,125 €1,600 - €1,125 = €475  
€9,700 €9,700 - €7,200 = €2,500 €2,500 ÷ 2 = €1,250 €1,600 - €1,250 = €350  
€9,950 €9,950 - €7,200 = €2,750 €2,750 ÷ 2 = €1,375 €1,600 - €1,375 = €225  
€10,200 €10,200 - €7,200 = €3,000 €3,000 ÷ 2 = €1,500 €1,600 - €1,500 = €100  
€10,400 €10,400 - €7,200 = €3,200 €3,200 ÷ 2 = €1,600 €1,600 - €1,600 = €0  

Next: Home Carer Tax Credit and your spouse or civil partner