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How to claim remote working tax relief?

Updated: Jan 31

If you’re remote working, you may be entitled to claim tax back on your broadband, heating and electricity bills.


You qualify for the tax relief if your employer formally requested you to work from home and you:


· Log onto a work computer remotely

· Complete your duties from home, or

· Work at home for substantial periods of time


This applies to part-time and full-time workers


How much can I claim?


If your employer does not pay you an allowance for expenses, you can make a claim for tax relief at the end of the year using Revenue’s myAccount service.


The amount you get is based on:


How many days you worked from home (excluding non-working days and annual leave) and the cost of the expenses. The Revenue’s agreed rate for calculating the cost of running a home office is 10 per cent of your electricity and heating bills and 30 per cent of your broadband bill.


If you split your bills with someone else such as a partner or house mate, you can only claim tax relief on your share of the bill. Keep a record of all your receipts and bills so that you can account for each expense you intend to claim. You may also need a letter from your employer stating that you work from home.


Example:

Sam worked remotely from March to December in 2020. His employer formally requested him to work from home. He worked from home for 171 days in 2020


Electricity Cost in 2020 = €650 x 10%

Broadband Cost in 2020 = €480 x 30%

Heading Cost in 2020 = €720 x10%


Total Amount Sam can claim = €65+€144+€72 = €281

Calculate working days = 171/365 = 46% of the year

Expected Refund = 281 x 46%= €129


How do I submit my claim?


You can claim your tax relief at the end of the year using Revenue’s my Account service.


1. Sign into myAccount on www.revenue.ie

2. Click on “Review your tax” link in PAYE Services

3. Select the Income Tax return for the relevant tax year

4. In the “Tax Credits and Reliefs” page (Page 4 &5) select the “Your Job tab, Select “Remote Working Expenses” and insert the expense incurred to the “Amount Claimed” section.


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