Local Fine Gael Senator notes the importance of financial self-assessment

January offers a good opportunity for people to see where they can make savings and avail of the tax reliefs to which they are entitled on expenses including medical bills and working from home, a local Fine Gael Senator has said.

“January is a good time to think about how to make savings after Christmas and the New Year, to look at bills and expenses and put a plan together for your finances, and many individuals and families in South Roscommon can avail of number of tax breaks that are available this year.

“Individuals can claim relief on the cost of health expenses, which can be yours or those of a family member - 20 percent tax back can be claimed on health and medical expenses and non-routine dental expenses.

“You can also claim 20 percent tax back on the cost of private medical insurance. Medical expenses can be claimed easily by using the myAccount facility on the revenue.ie website and ensuring you keep the receipts for what you are claiming.

“PAYE workers can claim e-working expenses incurred across last year. In 2021, the allowable cost was 10 percent of electricity and heat and 30 percent of broadband.

“However, in line with Government policy to facilitate and support remote working, Finance Minister Paschal Donohoe announced on Budget Day that, from January 1, an income tax deduction amounting to 30 percent of the cost of vouched expenses for heat, electricity and internet incurred while working from home can be claimed by taxpayers. The employee must have incurred the cost and it is the responsibility of the employee to retain proof such as receipts.

“Revenue advise that the simplest way for taxpayers to claim their e-working expenses and other tax credit entitlements is by using the myAccount facility on the revenue.ie website.

“Also, the Government recently approved the establishment of the Electricity Costs Emergency Benefit Scheme under which a payment of €100 will be made to each domestic electricity customer.

“This is one of a range of measures to mitigate the effects of the unprecedented rise in electricity prices on householders. The scheme is currently being finalised, but it will be automatic and will apply to all customers.

“Tax relief of 20 percent can also be claimed on third level tuition fees, as well as housing tax reliefs for home renovations and renting a room.

“The start of the year is a good opportunity for people to shop around to make sure you’re getting value for money by reviewing or switching providers on a range of services and it is definitely worth taking the time to claim for certain expenses as it can result in significant funds returning to your pocket.

“Tips on managing budgets can also be found at the Money Advice Bureau www.mabs.ie/managing-money/ and the My Budget Tool is a great way to enter income and all types of costs to help you plan ahead. A free helpline number is also available on 0818 07 2000,” Senator Dolan asserted.

 

Page generated in 0.1725 seconds.