Taxes Consolidation Act 1997 section 216D

Certain profits of micro-generation of electricity

Section 216D exempts from income tax, USC and PRSI up to €400 of annual profits arising to an individual from the microgeneration of electricity at their home using renewable energy sources.

• Profits of up to €400 per year from microgeneration of electricity are exempt from income tax, USC and PRSI for the tax years 2024 to 2028 (the limit was €200 for 2022 and 2023).
• The exemption applies where an individual generates electricity from renewable, sustainable or alternative energy sources at their sole or main residence for their own consumption, and surplus electricity is sold back to the grid.
• The individual must be named on the electricity bill for the property, and where more than one individual is named on the bill, each person qualifies for the full €400 exemption independently.
• Any profits exceeding the exempt amount must be declared as income and are subject to income tax, USC and PRSI in the normal way.