Tax Credit · Housing
Mortgage Interest Tax Credit Ireland 2026
If your mortgage interest payments rose after 2022, you may be entitled to 20% income tax relief on the increase — up to €1,250 for a single person or €2,500 for a couple. This is a temporary, specific credit covering the 2023 and 2024 tax years. It applies only to your principal private residence with a balance between €80,000 and €500,000 on 31 December 2022.
MORTGAGE INTEREST TAX CREDIT — AT A GLANCE
| What it is | 20% income tax relief on your increased mortgage interest above 2022 levels |
| Maximum credit — single | €1,250 per tax year |
| Maximum credit — couple (joint) | €2,500 per tax year |
| Mortgage balance required | €80,000 – €500,000 outstanding on 31 December 2022 |
| Property type | Principal private residence only (not rental properties) |
| Tax years covered | 2023 and 2024 (Budget 2025 extended to 2024; no confirmed extension to 2025/2026) |
| Baseline year | 2022 — all calculations compare against 2022 interest paid |
| How to claim | Revenue myAccount (PAYE) or Form 11 via ROS (self-employed) |
| Document required | Mortgage interest certificate from your lender for each relevant year |
Why this credit exists and what it covers
The European Central Bank raised interest rates rapidly between 2022 and 2024 to combat inflation across the eurozone. Irish mortgage holders on tracker and variable rates saw their monthly repayments increase sharply — in some cases by several hundred euro per month. The Mortgage Interest Tax Credit was introduced in Budget 2024 as a direct response to this burden.
The credit is specifically designed to compensate for the increase in interest costs — not to refund all mortgage interest. If your interest payments were higher in 2023 than in 2022, the government returns 20% of that difference as a tax credit. It is a targeted, temporary measure and is not the same as the old Mortgage Interest Relief scheme that existed before 2013.
Full eligibility conditions
You must meet all of the following conditions to qualify:
- The mortgage is secured on your principal private residence — the home you actually live in as your main home
- The outstanding mortgage balance was between €80,000 and €500,000 on 31 December 2022 (exactly — not the start of 2023)
- You paid more interest in 2023 or 2024 than you paid in 2022 — if your interest did not increase, there is nothing to claim
- The property is not let out to tenants — investment properties, rental properties, and holiday homes do not qualify
- You are tax-compliant with Revenue — you have no outstanding returns or tax debts that Revenue considers material
- You had a mortgage in place on 31 December 2022 — people who bought after that date have no 2022 baseline and cannot claim
Who does NOT qualify
- First-time buyers who purchased after 31 December 2022 (no 2022 baseline exists)
- People whose mortgage balance was below €80,000 or above €500,000 at end of 2022
- Landlords and investors (investment property mortgages — these remain separately deductible as a rental expense)
- People whose mortgage interest in 2023/2024 was the same as or lower than in 2022 (for example, someone who paid off a large chunk of the mortgage in 2022)
How the credit is calculated
The formula is straightforward. Revenue takes the interest you paid in the claim year, subtracts what you paid in 2022, and gives you 20% of the difference — subject to the maximum cap.
| Scenario | 2022 interest | 2023 interest | Increase | 20% credit | Final credit |
|---|---|---|---|---|---|
| Single person — small tracker increase | €3,200 | €5,800 | €2,600 | €520 | €520 |
| Single person — large tracker increase | €4,000 | €12,000 | €8,000 | €1,600 | €1,250 (capped) |
| Couple (joint) — moderate increase | €5,500 | €10,000 | €4,500 | €900 | €900 |
| Couple (joint) — large increase | €6,000 | €20,000 | €14,000 | €2,800 | €2,500 (capped) |
| Person with no increase | €5,000 | €5,000 | €0 | €0 | €0 — does not qualify |
The same calculation applies for 2024 claims, comparing 2024 interest against the 2022 baseline. You can claim for both years separately.
Worked examples for different mortgage types
Example 1: Tracker mortgage holder, couple
João and Maria from Brazil have a tracker mortgage (ECB rate + 1%) on their Dublin home. Their outstanding balance at 31 December 2022 was €280,000. As ECB rates rose, their monthly interest jumped from approximately €410/month (€4,920/year) in 2022 to €1,050/month (€12,600/year) in 2023.
- Interest increase: €12,600 – €4,920 = €7,680
- 20% of €7,680 = €1,536
- Joint assessment cap: €2,500 — not reached, so full €1,536 applies
- They each receive a €768 credit, or together €1,536 reduction in their combined tax bill
- They can claim the same for 2024 if interest remained higher than in 2022
Example 2: Variable rate mortgage, single person
Deepa, an Indian nurse in Cork, has a variable rate mortgage. Balance at 31 Dec 2022: €195,000. She paid €5,200 interest in 2022 and €9,400 in 2023.
- Interest increase: €9,400 – €5,200 = €4,200
- 20% of €4,200 = €840
- Single person cap: €1,250 — not reached, so full €840 applies
- Deepa receives €840 as a tax credit for 2023
Example 3: Fixed rate that expired, now on higher variable rate
Tomás had a 3-year fixed rate at 2.3% that expired in mid-2022. He then moved to a variable rate at 4.1%. His 2022 interest was a mix of the old fixed and new variable rates, totalling €5,800. His 2023 interest on the full year at 4.1% was €8,600.
- Interest increase: €8,600 – €5,800 = €2,800
- 20% of €2,800 = €560
- Tomás receives €560 for 2023. His balance at 31 Dec 2022 was €178,000 — well within the €80,000–€500,000 range.
How to claim — step by step
Step 1: Get your mortgage interest certificates
Contact your lender (bank, building society, or credit union) and request mortgage interest certificates for:
- The 2022 tax year (baseline — this is always required)
- The 2023 tax year (if claiming for 2023)
- The 2024 tax year (if claiming for 2024)
Most lenders can issue these through their online banking portal or by written request. They show the total interest paid in the calendar year on your mortgage account. Allow a few days for the certificate to be issued — some lenders are faster than others.
Step 2: Log in to myAccount
- Go to revenue.ie and log in to myAccount
- Click Manage your tax and select the year (2023 or 2024)
- Click Tax Credits and Reliefs
- Under "Home," select Mortgage Interest Tax Credit
- Enter the interest paid in 2022 and the interest paid in the claim year (from your mortgage interest certificates)
- Revenue calculates the credit automatically and applies it to your tax record
- Submit the return — a refund or reduced liability notice follows within days
For self-employed filers
Claim through the mortgage interest credit section on Form 11 via ROS. You will need the same mortgage interest certificates. Enter the 2022 and claim-year interest amounts in the designated fields — the system calculates the credit and applies it against your income tax liability.
What happens after you claim
Revenue processes the credit and applies it to your income tax liability for the year. If you overpaid tax during the year (common for PAYE workers), the credit results in a refund issued to your bank account. If you have underpaid, the credit reduces what you owe. Revenue typically issues a review and any refund within 5–10 working days of the online submission.
The credit appears on your Tax Credit Certificate (P21 / End of Year Statement) as "Mortgage Interest Tax Credit." Keep your mortgage interest certificates on file for 6 years in case Revenue queries the claim.
Common mistakes to avoid
- Confusing this with the old Mortgage Interest Relief: The original MIR scheme ended after 2020. This credit is entirely new and separate, covering only 2023 and 2024.
- Trying to claim for a rental property: Investment and rental property mortgages do not qualify. Interest on rental property mortgages is a deductible rental expense under a different part of the tax code.
- Claiming without a 2022 baseline certificate: You need the 2022 interest figure to establish the increase. If you did not have a mortgage in 2022, you cannot claim.
- Thinking fixed-rate mortgages do not qualify: Fixed-rate mortgages qualify if the interest paid in 2023 or 2024 was higher than in 2022 — which it often is if you came off a low fixed rate.
- Missing the 2023 claim while waiting for 2024: Both years are claimable now. Do not wait — file both through myAccount today.
- Assuming the credit is based on total interest, not the increase: The credit is 20% of the increase above 2022, not 20% of all interest paid.
Information Accuracy — This guide has been independently researched and reviewed using official Irish government sources available on the publication date. Government schemes, payment rates, eligibility rules and legislation may change over time. Before making financial, legal or welfare decisions, always confirm the latest information directly with the relevant Irish authority.
Frequently asked questions
What is the Mortgage Interest Tax Credit in Ireland?
The Mortgage Interest Tax Credit is a temporary income tax relief introduced in Budget 2024 for homeowners whose mortgage interest costs increased significantly after 2022. It gives 20% income tax relief on the increase in your mortgage interest between 2022 and 2023 (and 2024). It applies only to principal private residences with an outstanding mortgage balance of €80,000 to €500,000 on 31 December 2022.
Who qualifies for the Mortgage Interest Tax Credit?
You qualify if: your mortgage is on your principal private residence; the outstanding balance was between €80,000 and €500,000 on 31 December 2022; you paid more interest in 2023 or 2024 than in 2022; the property is not rented out; and you are tax-compliant. If you bought your home after 2022, you do not qualify because there is no 2022 baseline to compare against.
How much is the Mortgage Interest Tax Credit worth?
The credit is 20% of the increase in interest paid compared to 2022. The maximum is €1,250 for a single person (or a couple in separate assessment) and €2,500 for a couple in joint assessment. If your interest increased from €5,000 in 2022 to €8,000 in 2023, the increase is €3,000 — 20% of that is €600 in tax credit.
How do I claim the Mortgage Interest Tax Credit?
Claim through Revenue myAccount under the tax credits section for the relevant year (2023 or 2024). You will need a mortgage interest certificate from your lender showing interest paid in 2022 and in the claim year. PAYE workers file through Form 12 (via myAccount). Self-employed filers claim through Form 11 on ROS.
Does this credit apply to tracker mortgages as well as variable and fixed rates?
Yes. The credit applies to any mortgage type — tracker, variable, or fixed rate — as long as the interest paid in 2023 or 2024 was higher than in 2022. Tracker mortgage holders typically saw the largest interest increases and often receive the maximum credit. Fixed-rate holders who came off a low fixed rate onto a higher rate after 2022 also commonly qualify.
Does the Mortgage Interest Tax Credit apply in 2025 and 2026?
Budget 2025 extended the relief to cover the 2024 tax year. As of this writing, no further extension to 2025 or 2026 has been announced. Claims for 2023 and 2024 can still be made retrospectively through myAccount. Check Revenue for the latest Budget announcements regarding any further extension.
My mortgage balance was over €500,000 in December 2022 — do I qualify?
No. The outstanding mortgage balance must have been between €80,000 and €500,000 on exactly 31 December 2022. If your balance was above €500,000 at that date, the credit does not apply, regardless of how much your interest increased.
Can I claim for both 2023 and 2024 in the same filing?
Yes. If you have not yet claimed for 2023, you can file both 2023 and 2024 now through myAccount — each as a separate return for its respective year. Each year uses 2022 as the comparison baseline. There is no requirement to file 2023 before 2024.
What is a mortgage interest certificate and how do I get one?
A mortgage interest certificate is a document from your lender confirming the total interest you paid in a given calendar year. Banks are required to issue these on request. You typically need the certificate for 2022 (baseline) and for the claim year (2023 or 2024). Contact your lender through their app, secure message, or customer service line and request the certificate for each year needed.
Does this credit affect my other tax credits?
No. The Mortgage Interest Tax Credit is a separate, additional credit. Claiming it does not reduce or affect your Personal Tax Credit, Employee Tax Credit, or any other tax credit. It is applied after all other credits and directly reduces your income tax liability for the year.
- This is not the old Mortgage Interest Relief — that scheme ended in 2020; this is a completely different, new measure
- The credit is on the increase in interest above 2022, not on total interest paid
- Fixed-rate mortgage holders can qualify — the mortgage type does not matter, only whether interest increased
- Rental property mortgages do not qualify under this credit (they remain deductible as a rental expense)
- People who bought after 31 December 2022 cannot claim because no 2022 baseline exists for them
- The credit is capped — if your interest increase would produce more than €1,250/€2,500, you receive only the cap amount
This page was reviewed against official Revenue guidance and updated to reflect the current status of the Mortgage Interest Tax Credit scheme, including the Budget 2025 extension to the 2024 tax year.
Information Accuracy — This guide has been independently researched and reviewed using official Irish government sources available on the publication date. Government schemes, payment rates, eligibility rules and legislation may change over time. Before making financial, legal or welfare decisions, always confirm the latest information directly with the relevant Irish authority.