Home Office Expenses — Ireland Tax Rules

Claim a proportion of household running costs when working from home as a sole trader.

Claimable: Partially claimable · Tax authority: Revenue

Revenue Rules

• Revenue allows self-employed individuals to claim a proportion of home expenses for a room used as an office.
• Allowable costs include heating, electricity, broadband, and a proportion of rent or mortgage interest.
• Calculate the proportion based on the number of rooms used for business and the time spent working from home.
• Revenue e-Working tax relief (for employees) does not apply to sole traders — you must calculate actual costs.
• Keep detailed records of how you calculate the business proportion.

Limits

No fixed cap — must be a reasonable proportion of actual costs. No simplified flat rate for sole traders.

Worked Example

Seán works from a home office. His annual household costs are €10,000 (heating, electricity, broadband). He uses 1 of 4 rooms, 70% for business. He claims €10,000 × 1/4 × 70% = €1,750.

Record Keeping

• Keep utility bills and broadband invoices
• Document the number of rooms and which are used for business
• Record your apportionment calculation
• Retain mortgage interest statements or rent receipts

Frequently Asked Questions

Is there a flat rate for working from home in Ireland?

Not for self-employed sole traders. The €3.20/day e-Working relief is only available to employees. Sole traders must calculate actual costs.

Can I claim mortgage interest for my home office?

You can claim a proportion of mortgage interest (not capital repayments) based on the room and time apportionment. Be aware this may affect CGT principal private residence relief.

Do I need separate utility meters for my home office?

No. Revenue accepts reasonable apportionment calculations based on rooms and usage time.

Can I claim broadband costs even if I also use it personally?

Yes. Claim the business proportion of your broadband bill based on the percentage of time it is used for work purposes. A home office that is used for business 60% of the time would typically support a 60% broadband claim. Document your reasoning consistently.