Special Assignee Relief Programme (SARP)
How do you calculate how much relief is due?
Where you qualify for the SARP, you can make a claim to have a proportion of your employment earnings disregarded for Income Tax (IT). For 2019, the proportion is 30% of your income over €75,000 up to a limit of €1,000,000. This applies when you first commenced your employment duties in Ireland on or after 1 January 2019.
For 2019, if you commenced your employment duties in Ireland on or before 31 December 2018, the upper limit of €1,000,000 will generally only apply to your earnings from 1 January 2020. Relief is not extended to Universal Social Charge (USC) so you will have to pay USC on the full amount of your salary.
You can claim the relief for a maximum of five consecutive years starting with the year you are first entitled to the relief.
If you qualify for the relief, you are entitled to receive, tax free, certain travel expenses and certain costs associated with your children's education.
Next: How do you apply for SARP relief?