{"id":2190,"date":"2013-12-31T10:46:51","date_gmt":"2013-12-31T10:46:51","guid":{"rendered":"http:\/\/isabelbarrosarchitects.ie\/blog\/?p=2190"},"modified":"2014-05-30T17:20:03","modified_gmt":"2014-05-30T17:20:03","slug":"home-renovation-incentive-scheme","status":"publish","type":"post","link":"https:\/\/isabelbarrosarchitects.ie\/blog\/home-renovation-incentive-scheme\/","title":{"rendered":"Home Renovation Incentive Scheme"},"content":{"rendered":"<p>The Home Renovation Tax Incentive (HRI) scheme was announced in the Budget 2014\u00a0 and will run from 25 October 2013 to 31 December 2015.<\/p>\n<p>This incentive provides a tax relief by way of an income tax credit at 13.5% of qualifying expenditure on:<\/p>\n<p>\u2022 repair<\/p>\n<p>\u2022 renovation or<\/p>\n<p>\u2022 improvement works.<\/p>\n<p>This includes extensions, garages and attic conversions; the supply and fitting of kitchens, bathrooms and built-in wardrobes; fitting of windows; plumbing, tiling, rewiring and plastering.<\/p>\n<p>To qualify for the HRI, you must be an owner-occupier and the work must be carried out on your principal private residence.<\/p>\n<p>Any contractor you use must be registered for Value Added Tax (VAT) in Ireland and be tax-compliant. If several contractors, such as a builder, a plumber and an electrician, carry out qualifying work on your home, you can combine the cost of the works to make up the minimum qualifying amount.<\/p>\n<p>Have a look at the table below to see some examples of the tax credit you can get.<\/p>\n<p style=\"text-align: left;\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-2242 aligncenter\" alt=\"HRI Table\" src=\"http:\/\/isabelbarrosarchitects.ie\/blog\/wp-content\/uploads\/2013\/12\/HRI-Table.jpg\" width=\"546\" height=\"435\" srcset=\"https:\/\/isabelbarrosarchitects.ie\/blog\/wp-content\/uploads\/2013\/12\/HRI-Table.jpg 546w, https:\/\/isabelbarrosarchitects.ie\/blog\/wp-content\/uploads\/2013\/12\/HRI-Table-300x239.jpg 300w\" sizes=\"auto, (max-width: 546px) 100vw, 546px\" \/>The works must cost a minimum of \u20ac4,405 (before VAT), which will attract a credit of \u20ac595. Where the cost of the works exceeds \u20ac30,000 (before VAT), a maximum credit of \u20ac4,050 will apply.<\/p>\n<p>&nbsp;<\/p>\n<p id=\"examples1\" style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>Example 1<br \/>\n<\/strong><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft size-thumbnail wp-image-2247\" style=\"margin-left: 10px; margin-right: 10px;\" alt=\"luxury-bathrooms.1153.featured\" src=\"http:\/\/isabelbarrosarchitects.ie\/blog\/wp-content\/uploads\/2013\/12\/luxury-bathrooms.1153.featured-150x150.jpg\" width=\"150\" height=\"150\" \/><\/p>\n<p>You hired a builder to carry out a bathroom renovation for \u20ac10,000 (before VAT at 13.5%). The work was carried out and paid for in April 2014. Your builder entered the details to the electronic HRI system.<\/p>\n<p>You hired a painter to carry out internal and external painting for \u20ac2,000 (before VAT at 13.5%). The work was carried out and paid for in September 2014. Your painter entered the details to the electronic HRI system.<\/p>\n<p>You claim your tax credit in January 2015. Your tax credit is \u20ac12,000 x 13.5% = \u20ac1,620. You receive your tax credit of \u20ac810 in 2015 and \u20ac810 in 2016.<\/p>\n<p>&nbsp;<\/p>\n<p style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>Example 2<br \/>\n<\/strong><\/p>\n<p>You paid \u20ac7,048 plus VAT (at 13.5%) of \u20ac952 = \u20ac8,000 for repair works and an insurance payment of \u20ac6,000 was received in respect of the repair works.<\/p>\n<p>The qualifying expenditure of \u20ac8,000 will be reduced by \u20ac6,000.<\/p>\n<p>Leaving \u20ac2,000 (\u20ac8,000 less \u20ac6,000) qualifying expenditure.<\/p>\n<p>This \u20ac2,000 includes VAT of \u20ac238.<\/p>\n<p>The tax credit can be claimed on the \u20ac2,000 less \u20ac238 = \u20ac1,762 (before VAT).<\/p>\n<p>&nbsp;<\/p>\n<p style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>Example 3<br \/>\n<\/strong><\/p>\n<p>\u20ac8,810 plus VAT (at 13.5%) of \u20ac1,190 = \u20ac10,000 was paid for external wall insulation.<\/p>\n<p>\u20ac2,700 was received under the <a href=\"http:\/\/www.seai.ie\/Grants\/Better_Energy_Homes\/\" target=\"_blank\">Better Energy Home scheme grant<\/a>.<\/p>\n<p>The \u20ac10,000 will be reduced by \u20ac8,100 (\u20ac2,700 x 3) leaving \u20ac1,900 (\u20ac10,000 less \u20ac8,100) qualifying expenditure.<\/p>\n<p>This \u20ac1,900 includes VAT of \u20ac226.<\/p>\n<p>The tax credit can be claimed on the \u20ac1,900 less \u20ac226 = \u20ac1,674 (before VAT).<\/p>\n<p>&nbsp;<\/p>\n<p style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>Example 4<br \/>\n<\/strong><\/p>\n<p>\u00a0<img loading=\"lazy\" decoding=\"async\" class=\"alignleft\" style=\"margin-left: 10px; margin-right: 10px;\" alt=\"Electrician\" src=\"http:\/\/isabelbarrosarchitects.ie\/blog\/wp-content\/uploads\/2013\/12\/Electrician-150x150.jpg\" width=\"150\" height=\"150\" \/><\/p>\n<p>You paid \u20ac5,000 (before VAT) to a VAT registered and tax compliant electrician for rewiring your home, your tax credit is \u20ac5,000 x 13.5% = \u20ac675.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>Example 5<br \/>\n<\/strong><\/p>\n<p>You paid a VAT registered and tax compliant builder \u20ac40,000 (before VAT) for an extension on their home<\/p>\n<p>The tax credit is \u20ac30,000 x 13.5% = \u20ac4,050.<\/p>\n<p>&nbsp;<\/p>\n<p id=\"examples2\" style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>Examples of repair, renovation or improvement works that qualify under the Incentive:<br \/>\n<\/strong><\/p>\n<ul>\n<li>Painting and decorating<\/li>\n<li>Rewiring<\/li>\n<li>Tiling<\/li>\n<li>Supply and fitting of kitchens<\/li>\n<li>Extensions<\/li>\n<li>Garages<\/li>\n<li>Landscaping<\/li>\n<li>Supply and fitting of solar panels<\/li>\n<li>Conservatories<\/li>\n<li>Plastering<\/li>\n<li>Plumbing<\/li>\n<li>Bathroom upgrades<\/li>\n<li>Supply and fitting of windows<\/li>\n<li>Attic conversions<\/li>\n<li>Driveways<\/li>\n<li>Septic tank repair or replacement<\/li>\n<li>Central heating system repair or upgrade<\/li>\n<li>Supply and fitting of built in wardrobes<\/li>\n<\/ul>\n<p>The VAT rate on works carried out must be 13.5%.<\/p>\n<p>Please note the above is not a complete list.<\/p>\n<p>&nbsp;<\/p>\n<p style=\"padding: 2px 6px 4px 6px; color: #555555; background-color: #eeeeee; border: #dddddd 2px solid;\"><strong>What type of home qualifies?<br \/>\n<\/strong><\/p>\n<p>A qualifying home is:<\/p>\n<ul>\n<li>A Homeowners main home, which the Homeowner must own and live in or<\/li>\n<li>A second hand home, which the Homeowner has bought and will live in as the Homeowner&#8217;s main home after the works have been carried out. (A complete reconstruction of an uninhabitable house does not qualify).<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p>Please check the <a href=\"http:\/\/www.revenue.ie\/en\/tax\/it\/reliefs\/hri\/index.html\" target=\"_blank\">Revenue <\/a>website for more information.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Home Renovation Tax Incentive (HRI) scheme was announced in the Budget 2014\u00a0 and will run from 25 October 2013 to 31 December 2015. This incentive provides a tax relief by way of an income tax credit at 13.5% of qualifying expenditure on: \u2022 repair \u2022 renovation or \u2022 improvement works. This includes extensions, garages [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":2244,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[12,3],"tags":[22,21,26,77,23],"class_list":["post-2190","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-construction","category-general","tag-construction-2","tag-costs-2","tag-government","tag-grants","tag-ireland","post-preview"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Home Renovation Incentive Scheme - Isabel Barros Architects - Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/isabelbarrosarchitects.ie\/blog\/home-renovation-incentive-scheme\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Home Renovation Incentive Scheme - Isabel Barros Architects - Blog\" \/>\n<meta property=\"og:description\" content=\"The Home Renovation Tax Incentive (HRI) scheme was announced in the Budget 2014\u00a0 and will run from 25 October 2013 to 31 December 2015. 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