The Help to Buy scheme introduced in the last budget comes into effect today. It allows purchasers to claim a rebate of income tax already paid up to a maximum of €20,000, depending on the value of the property.
Who is entitled to claim?
A first-time buyer of a house or apartment who purchases or self-builds a new residential property between 19 July 2016 and 31 December 2019 may be entitled to claim a refund of income tax and DIRT paid over the previous four tax years.
The first-time buyer must not have either individually or jointly with any other person (directly or indirectly), previously purchased, or built a property. Where more than one individual is involved in purchasing or building a new home, all of the individuals must be first-time buyers.
The property must have been purchased or built as the first-time buyer’s home. It does not include properties acquired for investment purposes.
The property must be occupied by the first-time buyer, or at least one of the first-time buyers in the case of multiple first-time buyers (a group), for a period of five years from the date the property is habitable.
What you need to do before you apply
Before you apply, all first-time buyers must:
How to apply
The online application can be made from 3 January 2017. However, taxpayers may file their Forms 11 or Forms 12, as appropriate, in advance of this date. There will be two stages to the HTB electronic process – an application stage and a claim stage.
Applications for properties purchased or self-built between 19 July 2016 and 31 December 2016 can also be processed from January 2017.
Information applicants need to make a claim
To make a claim, you must enter the required information online, confirming the:
Once the claim is submitted, as part of the claim stage, the details will need to be verified by the Developer/Contractor in the case of a new build or a Solicitor, acting on your behalf, in the case of a self-build before the refund will be paid.
For further information contact us at 04-9810160 or follow this link for a guide;