If you worked in any of these countries, you could be due a Tax Refund

Want to claim e-worker tax relief? You'll need to get this letter from your employer

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Have you been moved out of your office to work from home for a substantial period, on a full-or part-time basis, due to the pandemic?

If this sounds like your current situation, this guide is for you!

We will discuss everything you need to know about claiming tax back on your broadband, heating and electricity bills.

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What is e-worker tax relief?

If it is your first time working from home, you may be unaware of this form of relief and how to claim it. E-worker relief is a tax relief on expenses which people may incur while working from home, including electricity, heat and broadband.

Who can claim this tax relief?


E-working is categorised as working outside your normal place of work, for considerable amounts of time.

This will sound familiar to thousands of workers across Ireland who started working from home due to the pandemic! So, if you work from home either full or part-time, you may be eligible for tax relief.

However, to qualify as an e-worker, you must:

  •  Have a formal agreement with your employer that you are required to work from home
  •  Be able to perform essential duties of employment at home

 

It is important to note, you can only claim for the days that you work from home. This does not include times you may have brought work home to do outside your normal working hours.

 

What can be claimed?


Firstly, employers can pay €3.20 tax-free a day to their employee to cover the additional costs associated with working from home. However, it is not a legal obligation for employers to make this payment to their employees.

Where an employer does not pay €3.20 per day to an e-worker, the employee is not entitled to claim a round sum of €3.20 per day. Where additional expenses are incurred, the employee is entitled to claim the following:

  •  Electricity and heat - 10% of cost of electricity and heat apportioned on the basis of the number of days worked from home over the year
  •  Broadband - 30% of the cost of broadband apportioned on the basis of the number of days worked from home over the year. This concession, commencing in tax year 2020, will apply for the duration of the pandemic.
  •  Other expenses where they are deemed "exclusively or necessarily" part of your work

If an expense is shared between two or more people, the cost can be apportioned based on the amount paid by each individual.

The average Irish tax refund is €1,880

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What you will need before you can claim


Like any form of tax claim, if you work from home and want to apply for tax relief, it is important that you can account for each expense you intend to claim. This means you must keep a record of all receipts and bills for each expense.

You will also need a letter from your employer stating that you work from home. The letter must include:

  • The number of work days the employee was required to spend at home during the year in question
  • Information about any amount of expenses reimbursed or any allowance paid by the employers

 

To help you claim your e-worker tax relief, we've prepared an employer letter template below. Feel free to copy, paste and send to your HR department to complete and send back to you!

Here is an example of what your letter should look like:


Date

To Whom It May Concern,

This is to confirm that Employee Name has worked from home for approximately X days in 2020, excluding public holidays and annual leave.

Please feel free to contact me if you have any questions, by phone on X, or by email at X

Yours faithfully,
_____________________
Name/Title

Download your FREE Irish Tax Guide

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Who can help me claim my tax back in Ireland?

You can claim your tax back yourself.

However, why not leave the heavy lifting and tricky tax paperwork to the team at Taxback.com?

Our dedicated team are here to help you claim your maximum tax refund. We will ensure you avail of every tax relief you're entitled to, including medical and dental expenses, flat rate expenses, home carer's tax credit and much more.

Our average Irish tax refund is €1,880 so it's definitely worth claiming back what you are owed! Use our tax back calculator to find out how much irish tax rebates you could be due back.

We'll even transfer your refund straight to your bank account.

 

Why apply with Taxback.com?


• Maximum Irish tax refund guarantee

• No complicated forms

• Simple online process

• 24/7 Live Chat support

Income tax return for employee - Simplifying tax for your employees

The average Irish tax refund is €1,880

GET YOURS NOW


About The Author

Amy Brennan - Digital Marketing Executive @ Taxback.com

Amy writes about the latest tax news and tips for Taxback.com. She enjoys helping workers to claim their maximum tax refund. In her spare time, Amy likes going to the gym and looking after her horses.

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