Register - if you don't have an account

Yes! Sign me up for Global Property Guide's fortnightly email newsletter.

Login - for registered users

Forgot Password?
Explore destinations
continent map couldn't be loaded Pacific Europe & Russia North America Latin America Asia Africa Middle East Caribbean


Financial Overview


Property Search

Global Statistics

Regional Statistics

Jun 20, 2017

Tax Example: Rent

Non-resident couple´s rental income1
Annual Rental Income2 1,500 6,000 12,000
Annual Rental Income 18,000 72,000 144,000
Less Expenses3 20% (3,600) (14,400) (28,800)
Less Depreciation4 (5,357) (16,071) (35,573)
= Taxable Income 9,043 41,529 79,627
Income Tax
Up to €67,000 20% 1,809 8,306 13,520
Over €67,000 40% 4,811
Annual Income Tax Due 1,809 8,306 18,331
Additional Tax
Health Levy 2% - - 1,593
Annual Income Tax Due 1,809 8,306 19,923
Withholding Tax 20% (3,600) (14,400) (28,800)
Net Annual Tax Due (€1,791) (€6,094) (€8,877)
Tax Due as % of Gross Income 10.05% 11.54% 12.73%
Thanks to:
Grant Thornton Ireland


Grant Thornton Ireland is a member firm of Grant Thornton International. Grant Thornton International is not a worldwide partnership. Member firms of the international organization are independently owned and operated.

1 The property is jointly owned by husband and wife. Currently, lettings of less than ten years are exempt from VAT. It is possible to waive this exemption and if a ‘waiver’ is applied for, VAT should be charged at 23% on the monthly rents.

2 Rental income paid to a non-resident landlord is subject to 20% withholding tax. This tax is then available as a tax credit when the couple files their annual income tax return.

3 Estimated values. Income-generating expenses are all deductible from the gross rental income.

4 Capital allowances may be available on the cost of any fixtures and fittings provided with the building and the deduction is given over eight years (e.g. 12.5% per annum).

5 These income tax rates are applicable to a married couple with two incomes. A different set of tax bands is applicable for the following classification of taxpayers: single person, married couple with one income, one-parent family.


Up to € 67,600 20%
Over € 67,600 40% on all income over €67,700

6 The 2% health levy is levied on the taxable income over €22,880 of each taxpayer. Once this threshold is exceeded, the health levy is applied on the whole taxable income.


Be the first to comment on this article!

Login or Register to submit a comment!

In order to promote open and spam-free conversations, Global Property Guide moderates commetns on all articles. You can expect that your comment will be published within 24 hours.

Compare Countries

Free Newsletter

Fortnightly updates from the global property arena directly to your inbox.

Email Address:

Connect to professional advice in Ireland


Download free property reports from international research houses

Our Newsletter

Fortnightly updates from the global property arena directly to your inbox.

Manage subscriptions