Taxes Consolidation Act 1997 section 364

Residential accommodation: allowance to owner-occupiers in respect of certain expenditure on construction or refurbishment

Section 364 gave owner-occupiers of qualifying residential accommodation on designated offshore islands an annual income tax deduction of 5% of construction or refurbishment expenditure, available in the year of the spend and each of the nine following years.

• 5% annual deduction from total income for ten years (year of expenditure plus nine subsequent years).
• Property must be on a designated island and used by the individual as their only or main residence.
• Floor area must be 30–125 sq m for a self-contained flat or maisonette, or 35–125 sq m otherwise.
• Any State, statutory board or local authority grant must be deducted from the qualifying expenditure.