Every year, the Irish Revenue updates tax credits and reliefs that could save you hundreds of euros on your tax bill. Staying informed helps you avoid overpaying and ensures you’re claiming everything you’re entitled to.
Key Points to know re Tax Credits:
- PAYE Tax Credit and Earned Income Credit: Both increased from €1,875 in 2024 to €2,000 for 2025 to reflect inflation adjustments. Remember: you can only claim one of these credits.
- Single Person and Married Couples Credit: Each has also increased for 2025.
- Home Carer Credit: Increased thresholds for those supporting a dependent person at home.
- Pension Contributions: Tax relief remains available for approved pension plans.
Tax credits can make a significant difference to your take-home pay, but many people are unaware when they change. In 2025, updates to the PAYE tax credit mean many workers will enjoy slightly higher net pay. The Home Carer Credit has also been increased to €1,950, meaning that those earning up to €11,100 can now benefit.
As in previous years, those saving for retirement can continue to enjoy generous tax relief on pension contributions (see our pensions calculator for more). It’s worth reviewing your situation each year to ensure you are making the most of these entitlements.
At FastTax.ie, we can help you identify overlooked credits and ensure you claim the full relief you deserve.
