Reviewed by: MyTaxRebate Team on 11 Mar 2026 | Authority: s.865 TCA 1997 | TDM Part 05-02-13
Quick Answer
In Ireland, remote working tax deductions for PAYE workers are managed through the Revenue e-worker relief. This allows you to claim 30% of your qualifying household bills - specifically electricity, heating, and broadband - proportionate to the number of days you actually work from home.
For instance, a fully remote worker paying €2,800 a year for utilities can claim an annual tax credit of around €168. You can backdate these claims for four years, meaning 2022, 2023, 2024, and 2025 are currently open. This Revenue deduction is entirely separate from the €3.20/day allowance an employer might choose to pay.
What This Page Covers
- ✓What the e-worker relief covers and how it reduces your taxable income.
- ✓How to calculate your 30% deduction based on your WFH days.
- ✓The difference between the Revenue deduction and the employer €3.20/day allowance.
- ✓How to submit claims for all four open years (2022 to 2025) simultaneously.
- ✓How the WFH deduction interacts with flat-rate and medical expenses for a larger refund.
Key Facts at a Glance
- ✓The e-worker relief is a tax deduction equal to 30% of your electricity, heating, and broadband bills × your WFH day ratio.
- ✓Calculation: (WFH days ÷ total working days) × 30% × annual utility cost × 20% tax rate = your credit.
- ✓Under s.865 TCA 1997, claims can be backdated up to four years. 2022, 2023, 2024, and 2025 are currently open.
- ✓The employer €3.20/day allowance is an optional tax-free payment from your boss, not a Revenue claim.
- ✓When combined with other reliefs like flat-rate expenses, total four-year WFH refunds often reach €1,100 or more.
Remote Working Tax Deductions: The E-Worker Relief
If you're a PAYE worker in Ireland doing your job remotely, your tax deductions are governed by Revenue's TDM Part 05-02-13. The specific deduction available is called the e-worker relief. It allows you to calculate 30% of your actual qualifying home utility costs - restricted strictly to electricity, heating, and broadband - and apportion that figure by the percentage of working days you spend at home.
This deduction is applied against your employment income, reducing the amount of income you pay tax on for the year. For a standard rate taxpayer, the net effect is a tax credit worth 20% of your deductible amount. For higher-rate taxpayers, it could be 40%, but the vast majority of remote PAYE workers fall into the 20% bracket for this specific calculation.
What If My Employer Already Pays Me?
You cannot claim the e-worker deduction for expenses your employer has already reimbursed. If your employer pays the optional €3.20/day allowance, this is a flat notional payment to cover daily costs. It does not mean you have to deduct €3.20 a day from your utility bills. However, if your employer directly reimburses specific bills (like paying €40 a month towards your broadband), you must subtract that reimbursed amount from your total qualifying expenses before calculating your 30% relief.
Need Help With the Math?
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How the Employer Allowance Fits In
The relationship between the e-worker relief and the employer's optional €3.20/day allowance causes immense confusion. They are not the same thing. The employer allowance is a tax-free cash payment made directly via payroll at your employer's discretion. The e-worker relief is a tax deduction calculated from your actual utility bills.
You can receive the €3.20/day from your boss and still make a valid e-worker claim to Revenue, provided your claim only covers unreimbursed costs. At MyTaxRebate, we view this as a coordination exercise. We look at whether your employer paid nothing, a flat rate, or specific bills, and match that against your utility evidence year by year so you don't miss out on what you're owed.
Why a Full Four-Year Review Uncovers More
Remote workers claiming the e-worker relief almost always have other PAYE refund items available in the same tax years. We frequently see overlap with flat-rate expenses for specific trades and unclaimed medical expenses.
A single year's WFH deduction might only put €150 back in your pocket. However, when we review your taxes across 2022, 2023, 2024, and 2025, and add in those missed flat-rate or medical reliefs, the final payout is consistently much more valuable. Don't leave money behind by stopping at 2025.
Maximise Your Total Refund
We check for WFH relief, flat-rate expenses, and medical costs across all four open years.
Tax Scenarios
Fully remote, qualifying utilities €2,800/year
A worker is fully remote (5/5 days = 100%). Their annual combined electricity, heating, and broadband is €2,800. Their e-worker deduction is €2,800 × 30% = €840. At the 20% tax rate, their credit is €168 for a single year. Across four similar years, that's approximately €672 back from Revenue.
Hybrid 4 days WFH out of 5, utilities €3,000
A hybrid worker's total qualifying utilities are €3,000. Their WFH ratio is 4 out of 5 days (80%). Their e-worker deduction is €3,000 × 30% × 80% = €720. Their tax credit at 20% is €144 per year. Over four years, this yields approximately €576.
Remote working combined with flat-rate expenses
A construction worker earning over €36,800 who has been fully remote since 2022 claims the e-worker relief (€144/year based on €2,400 utilities) plus their construction flat-rate deduction (e.g., yielding €240 to €1,172 depending on trade). Over four years, combining WFH and flat-rate relief typically produces a refund of €800 to €1,500.
Remote working with employer reimbursement
If broadband costs €600/year and the employer pays €200 directly towards it, the worker claims the unreimbursed portion through MyTaxRebate. The PAYE claim covers the remaining €400 × 30% × their WFH days. A four-year review ensures every euro of unclaimed, unreimbursed relief is captured.
Common Mistakes To Avoid
- ✗Thinking the employer €3.20/day allowance is something you claim from Revenue. It's a payroll payment; the e-worker relief is the Revenue claim.
- ✗Trying to claim rent or mortgage interest. Revenue only allows deductions for electricity, heating, and broadband.
- ✗Believing 2020 or 2021 are still open for claims. Those years closed permanently on 31 December 2024. The current open years are 2022, 2023, 2024, and 2025.
- ✗Ignoring the backdated years because the per-year amount seems small. A four-year WFH claim combined with other reliefs frequently hits €800 - €1,400.
When This Does Not Apply
Key Takeaways
- Remote working tax deductions are processed via the e-worker relief: 30% of electricity, heating, and broadband × your WFH proportion.
- This deduction reduces your taxable income, giving standard rate taxpayers a 20% effective credit.
- You can submit claims for all four open years (2022 to 2025) simultaneously.
- The €3.20/day employer allowance is separate and doesn't stop you from claiming the e-worker relief on unreimbursed costs.
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Frequently Asked Questions
How much WFH tax relief can I claim in Ireland?
It depends on your actual utility bills, your WFH days, and your tax bracket. If you pay €2,400 a year in utilities and work from home fully (5 days), your e-worker tax credit is about €144 per year at the standard rate.
What is the employer €3.20 per day allowance in Ireland?
It is an optional, tax-free payment your employer can give you to cover home-working costs. You don't claim it from Revenue. It is completely separate from the e-worker tax relief.
Can I claim WFH tax relief for 2022 and 2023 as well as 2025?
Yes. Under s.865 TCA 1997, you can backdate tax relief claims for up to four years. In 2025, the open years are 2022, 2023, 2024, and 2025. You can claim for all of them at once.
What home expenses qualify for the e-worker tax relief?
Only three categories qualify: electricity, heating (gas, oil, solid fuel), and broadband. Rent, mortgage interest, home insurance, water charges, and furniture do not qualify.
Do I need to keep utility bills to claim WFH tax relief?
Yes. Revenue may ask to see your utility bills to support your claim, especially if the amount is high or the claim is queried. Always keep your electricity, heating, and broadband bills for the years you claim.
