Home Renovation Scheme Extended until 2018
With an expected end for the HRI scheme this coming December, it came as no surprise that the successful scheme was extended until the end of 2018 in our most recent budget announcements in Leinster House. With October 2016 statistics being released alongside this announcement, is it any wonder that it has been extended?
The total estimated value of works so far completed through the scheme is an astonishing €1,080,691,961 and this October 2016 released statistic brings some context to the success of the scheme overall.
How The Scheme Works?
The scheme awards homeowners a 13.5% tax credit against the expenditure on renovation on their primary house, effectively reducing the rate of Vat on the works to 0%. The Home Renovation Incentive Scheme allows for a VAT clawback of up to €4,050 on the 13.5% VAT rate applied to home renovation work costing between €5,000 and €30,000 so long as it was/is carried out between October 2013 and 2016, with the Irish government having extended the scheme twice already before the most recent budget due to its popularity and success. A third extension really shows the impact it has had.
If you haven’t had the opportunity to avail of it already, there are many works around your home you could avail of under the scheme. Works that qualify include garage and attic conversions, extensions, new windows, plumbing, rewiring, plastering, painting and garden landscaping.
Not only does it present an opportunity to save on getting home improvement work like this done, there are certain projects that can add value to your home and allow you to save money in the long-term, after the work has been completed through the HRI scheme reducing expenditure in a steady and sustainable way. One example of this, is solar panels. By availing of the HRI scheme in getting something like solar panels fitted, you are making a saving directly on the cost. But furthermore, you then have the annual savings on heating and hot water through the effectiveness of the solar panels. There are other examples of this like fitting more efficient windows, a heating control upgrade with a new boiler or other more aesthetic works such as landscaping or painting that can also add value to your property.
Are You Eligible? Owner / occupiers of a main home or landlords of rental properties who pay Income Tax under PAYE or self-assessment and whose Local Property Tax and Household Charge obligations are up to date, are eligible. The homeowner or landlord must be on Revenue’s Local Property Tax Register as an owner or joint-owner of the main home or rental property.
What The Homeowner Must Do: After the work has been carried out and paid for the customer then needs to go onto the revenue site – revenue.ie.
Within the “my account” section: You will see – Home Renovation Incentive (HRI)
Click on this link, where you will be brought to homeowner’s login for HRI.
Here you put in the following personal details:
Tax reference number (PPS number)
Unique property ID (Local property tax number)
Secure pin (Pin from your local property tax), this pin should be on a letter of some sort from the revenue in regards to payment of your local property tax.
Then you just simply log in.
Once logged in, you should see the works the HRI approved contractor has completed for you.
Once you are happy with these details there should be a button to press stating “CLAIM” or “CLAIM NOW” and you just simply press it and that is your claim completed.
For more information visit revenue.ie.
Also, something to note: A property owner may register works in multiple years.
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