Taxes Consolidation Act 1997 section 372AR

Relief for owner occupiers

Section 372AR provides relief for owner-occupiers who incur qualifying expenditure on residential premises in designated areas, allowing an annual deduction from total income for up to 10 years.

• An individual may deduct 5% of new construction costs, or 10% of conversion, refurbishment, or Living over the Shop construction costs, from total income each year for up to 10 years, provided the premises remains the individual's sole or main residence.
• A jointly assessed married individual or civil partner may apply the deduction against the combined total income of both spouses or civil partners, unless separate assessment applies.
• Expenditure must fall within the qualifying period, and at a park and ride facility the owner-occupier expenditure together with rented residential expenditure must not exceed 25% of total qualifying expenditure at the facility.
• Relief is not available where planning permission has not been obtained, or where the expenditure already qualifies for a deduction, relief, or allowance under any other provision of the Tax Acts.