E-working and tax relief

May 5, 2020

Employees working from home can claim tax relief. This payment is to cover expenses such as heating and electricity costs.

Revenue allows an employer to make payments up to €3.20 per day to employees who satisfy the conditions for the relief, without deducting PAYE, PRSI, or USC.

If your employer pays you more than €3.20 per day, the payment will be taxable. Your employer must keep a record of payments made.

These arrangements only apply to e-worker employees. They do not apply to workers who bring work home outside of normal working hours.

E-working is when you work:

  • At home on a full- or part-time basis
  • Part of the time at home and the remainder in the normal place of work

If you use part of your home for e-working, your home remains your Principal Private Residence and you are not liable for CGT when you sell it.

You can get more information from www.revenue.ie