Buy-to-Let Tax in Ireland: What Every Landlord Must Know (2026)

Owning a rental property in Ireland comes with significant tax obligations. Understanding what is taxable, what you can deduct, and how to stay compliant with Revenue is essential for every Irish landlord. This guide explains the key tax considerations for buy-to-let landlords in 2025.

Is Rental Income Taxable?

Yes — all rental income from Irish property is subject to Irish income tax as Case V income under Schedule D of the Taxes Consolidation Act 1997. This applies to resident and non-resident landlords alike.

What Taxes Apply?

  • Income Tax: 20% (standard rate) or 40% (higher rate) on taxable rental profits
  • PRSI: 4% for most landlords
  • USC: Between 0.5% and 8% depending on total income

The effective tax rate on rental profits for higher-rate taxpayers can therefore exceed 50%.

Allowable Deductions

  • Mortgage interest (subject to current phased restoration rules)
  • Repairs and maintenance (not improvement works)
  • Management and letting agent fees
  • Insurance premiums
  • RTB registration fees
  • Accountancy fees for rental accounts
  • Local Property Tax

Mortgage Interest Relief — Phased Restoration

After being abolished between 2017 and 2019, mortgage interest relief for landlords is being phased back. Finance Act 2023 introduced 20% deductibility in 2024, rising to 30% in 2025 and increasing annually. Ensure you are claiming the current available relief in your tax return.

Capital Gains Tax on Sale

Profits from selling a rental property are subject to CGT at 33%. Principal Private Residence relief does not apply to investment properties. CGT returns must be filed and tax paid by the relevant deadline.

Filing Requirements

Landlords must file a self-assessment Form 11 annually by 31 October (extended for online filers). Penalties and interest apply for late filing or payment.

Need legal support for your buy-to-let investment? See our Buy-to-Let Legal Pack and detailed landlord legal requirements guide. For tax advice, consult a qualified tax adviser. Book a 30-minute consultation for legal questions.

This article is for informational purposes only and does not constitute legal or tax advice.