Tax Credits & Reliefs >> Tax Credits- Home Service Charges
Tags: bin charges, tax credits, tax saving tips
The tax relief for home service charges/ refuse collection charges has been abolished for tax year 2012 onwards. You can tax relief for tax years up to 2011 based on the amount paid in the previous year. In other words there is no tax relief for charges paid in 2011 which would have been allowed in 2012.
Income tax relief is available for individuals who pay local authority and other service charges. Relief is given for service charges paid in full and on time in the previous calendar year. The amount of the tax relief is 20% of the amount paid. Where tags are purchased the maximum amount qualifying for tax relief is €195 which equals a tax credit of €39.
The maximum amount qualifying for tax relief will be €400 which equals a tax credit of €80.
TAX SAVING TIP
A lot of people overlook this claim. You should keep a record of the tags purchased or of what amounts were paid directly to your local authority. You should check with your tax office to ensure you are getting the correct tax relief.
Even if you forgot to claim relief for past years it is not too late to make a claim now for the years 2009 to 2011 inclusive.

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