Taxes Consolidation Act 1997 section 837

Members of the clergy and ministers of religion

Section 837 provides for income tax deductions available to members of the clergy and ministers of any religious denomination in respect of professional expenses and rent paid on a dwelling used for ministerial duties.

• A member of the clergy or minister may deduct any sums paid or expenses incurred wholly, exclusively and necessarily in the performance of his or her duties.
• A deduction of up to one-eighth of the rent paid on a dwelling house may be claimed where any part of the dwelling is used mainly and substantially for ministerial duties, subject to the inspector's approval.
• For Representative Church Body clergy, a Cost of Living Allowance (COLA) reimbursed by the Select Vestry and included in the total stipend is allowed as a Case II, Schedule D deduction, subject to annual basic and maximum limits.
• Where the COLA reimbursed exceeds the basic allowance, the allowable deduction is the basic allowance plus one-quarter of the excess, capped at the maximum allowance for the year in question.