Irish rental income
Income from renting out a property, or from another source that qualifies as rental income, is taxable. You must declare this income to Revenue under the appropriate category using either a:
- Income Tax Return (Form 11) for self-assessed taxpayers
- Income Tax Return (Form 12) for PAYE employees.
Net rental income is added to your other income. The tax rate you pay depends on your total income and personal circumstances.
Rental income includes:
- the renting out of a house, flat, apartment, office or farmland
- payments you receive for allowing advertising signs or communication transmitters to be put up on your property
- payments you receive for allowing a right of way through your property
- payments you receive for allowing sporting rights such as fishing or shooting rights on your property
- payments you receive from your tenant to cover the cost of work to your rental property. Your tenant must not be required to pay for this work per the lease
- certain lease premiums, as well as deemed and reverse premiums
- conacre lettings
- payments received from insurance policies that cover against the non-payment of rent.
Income from renting a foreign property
If you are receiving rental income from a foreign property, see the Foreign rental income section for more information.
Income from providing short term guest accommodation
You may have income from providing accommodation to occasional visitors for short periods. For example you may provide the accommodation through an online accommodation booking site.
This income is not considered to be rental income. This is because the visitors use the accommodation as guests, rather than as tenants.
Income from providing short term guest accommodation is taxable as either:
- other income (Case IV) where the income is occasional in nature
- trading income (Case 1) where you are trading as an ongoing business, such as a bed and breakfast or a guesthouse.
Next: What expenses are allowed?