How to Claim the Mortgage Interest Tax Credit

The mortgage interest tax credit was introduced in the Finance Act 2023 and applies to the 2023 tax year only.

In order to qualify for the mortgage interest tax credit, you must have:

  • An outstanding mortgage balance of between €80,000 and €500,000 on 31/12/2022.
  • Paid interest on the loan in both 2022 and 2023, with increased interest paid in 2023.
  • Complied with LPT and planning permission obligations.
  • Not purchased the property from a connected party for more than fair value.
  • Purchased the property as your only or main residence or used for a spouse to attend employment. Additionally, the property must be situated in Ireland.

Claim Mortgage Interest Tax Credit

The credit is calculated on the increased interest paid in 2023 compared to 2022. The credit is 20% of the increase in interest, up to a maximum of €1,250.

You will need the following three documents to avail of the credit:

1. Mortgage interest certificate 2022.
2. Mortgage interest certificate 2023.
3. Mortgage balance on 31/12/2022.

Additional Considerations:

  • There is only one credit available per property. Therefore, if more than one person qualifies for the credit, it will have to be split according to the proportion of the interest paid by each. This should not be an issue for jointly assessed spouses.
  • If interest for the full calendar years 2022 and 2023 has not been paid, the tax credit will only be available on a pro-rata basis. This may result in a reduced credit being available, depending on the mortgage balance.
  • The credit is also available to individuals paying a mortgage for (1) a dependant relative, or (2) the principal private residence of a separated spouse, subject to satisfying the above requirements.


Mary had an outstanding mortgage balance of €120,000 at 31st December 2022. This loan remained in place for all of 2022 and 2023. Mary paid €7,500 interest in 2023 and €6,000 interest in 2022. Mary’s Mortgage Interest Credit will be as follows:

2023 Interest Paid                        €7,500
2022 Interest Paid                         €6,000
Increase in 2023                            €1,500
Mortgage Interest Credit (20%)      €300

Contact Us today if you need support with your claim for the mortgage interest tax credit.