If you work from home, you may be entitled to tax relief on your household costs. The rules are straightforward once you understand how the employer payment and employee claim routes work.
Your employer can pay you EUR 3.20 per day for each day you work from home, free of income tax, USC, and PRSI. Your employer does not have to make this payment; it is optional. If they do pay it, you cannot also claim the employee deduction below.
If your employer does not make the EUR 3.20 payment (or pays less), you can claim a deduction for 30% of the cost of broadband and the proportion of heating and electricity attributable to your home working days. You need records of the number of days worked from home and the relevant utility bills.
The deduction is claimed on your annual tax return or via Revenue's myAccount service.
Working from a co-working space does not qualify for the relief. The deduction applies only to your own home. Furniture and equipment purchased for home working are not covered by this specific relief (though your employer can provide these as a tax-free benefit in certain circumstances).
Remote working relief, flat rate expenses, rent credit, medical expenses, and more. Our Employee Tax Review checks everything. EUR 49.
Get Your Review - EUR 49If your employer does not pay the EUR 3.20 per day, you calculate the employee deduction as follows: take your total annual broadband bill and claim 30%. Then take the proportion of electricity and heating attributable to your workspace (based on floor area as a percentage of total home area) and claim 30% of that. Add the two amounts together for your total deduction.
The deduction reduces your taxable income, giving relief at your marginal rate. A EUR 400 deduction saves EUR 160 for a 40% taxpayer, or EUR 80 for a 20% taxpayer.
If you work from home 3 days per week and in the office 2 days, you can still claim for the days worked from home. The employer EUR 3.20 per day payment applies only to actual home working days. Keep a clear record of which days you worked from home each month.
The remote working relief covers running costs only. It does not cover furniture (desks, chairs, monitors), office equipment, or renovation costs for a home office. Your employer can provide these tax-free as a benefit if they are necessary for your work, but you cannot claim them as an employee deduction.
Disclaimer: This information reflects the 2026 tax year. Tax rules change annually following the Budget. Check Revenue.ie for the latest rates and thresholds. This guide is for informational purposes only and does not constitute tax advice.