The Personal Tax Credit is one of the most important credits available to Irish taxpayers. Worth €2,000 in 2025, it directly reduces the amount of tax you pay—but not everyone fully understands how it works or whether they're getting its full benefit.
Our specialists ensure every client is receiving all the tax credits they're entitled to. Here's everything you need to know about the Personal Tax Credit.
📊 Personal Tax Credit 2025
- Value: €2,000 per person
- Who qualifies: All Irish tax residents
- For married couples: €4,000 combined
- Application: Automatic for most PAYE workers
What Is the Personal Tax Credit?
The Personal Tax Credit is a non-refundable credit that reduces your tax liability. Every Irish resident is entitled to it. At €2,000, it effectively makes the first portion of your income tax-free—offsetting €2,000 of tax that would otherwise be due.
For PAYE workers, this credit is usually applied automatically. However, issues can arise—particularly if you're new to Ireland, have changed jobs, or have unusual employment circumstances.
Personal Tax Credit for Married Couples
Married couples and civil partners receive combined credits of €4,000 (€2,000 each). These can be allocated between spouses in whatever way is most tax-efficient for your household.
If one spouse doesn't work (or earns less than €2,000), their unused Personal Tax Credit can be transferred to the other spouse. Our specialists review your allocation to ensure it's optimised.
Other Tax Credits You Should Know About
The Personal Tax Credit is just one of several credits available. Depending on your situation, you may also qualify for:
Employee Tax Credit (€2,000)
If you're employed and pay tax through PAYE, you receive this credit automatically. Combined with the Personal Tax Credit, most employees get €4,000 in basic credits.
Home Carer Credit (€1,950)
For married couples where one spouse stays home to care for children or other dependents. This is often unclaimed because people don't know it exists.
Single Person Child Carer Credit (€1,900)
For single parents who are the primary carer for a qualifying child. This also includes an increased standard rate tax band.
Rent Tax Credit (Up to €1,000)
If you rent your home, you may qualify for this relatively new credit worth up to €1,000 per year.
💡 Did You Know?
Many people only claim their basic credits and miss out on additional ones they qualify for. Our specialists review your complete situation to ensure you're claiming everything available—often finding credits worth €1,000+ per year.
Beyond Credits: Tax Reliefs
In addition to tax credits, there are reliefs that can reduce your tax bill:
- Medical expenses – 20% relief on unreimbursed healthcare costs
- Work expenses – flat rate allowances for many professions
- Tuition fees – for approved third-level courses
- Working from home – for remote workers
Are You Getting Your Full Entitlement?
The average refund our clients receive is €1,080. This often comes from a combination of:
- Additional credits they didn't know they qualified for
- Reliefs on expenses they hadn't claimed
- Emergency tax overpayments
- Credits from multiple years (up to 4 years back)
Our team reviews your complete tax history to ensure you're receiving everything you're entitled to. Learn more about how our service works.
Check Your Tax Credit Entitlements
Our experts will review all your credits and find what you're missing.
Start Your Free Review →No refund, no fee • Average refund €1,080 • TAIN: 77632V
Frequently Asked Questions
Do I automatically get the Personal Tax Credit?
For most PAYE workers, yes—it's applied automatically. However, issues can occur when starting new employment or returning to work. If you're on emergency tax, you may not be receiving your full credits.
Can I get a refund if I don't earn enough to use my credits?
Tax credits are non-refundable—you can only use them to reduce tax you owe. If you didn't earn enough to use them, you can't get cash back for unused credits. However, if you paid tax you shouldn't have (like emergency tax), that's refundable.
How do I check what credits I'm getting?
Your Tax Credit Certificate shows your current credits. However, it won't show what you might be missing. Our free review identifies gaps between what you're receiving and what you're entitled to.
