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Professional Irish Financial Analysis • 2026
Generated On
22 July 2026
Note: This report is an estimate based on current Irish Revenue tax bands and provided inputs. For official tax advice, please consult a qualified professional or visit Revenue.ie.
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Self-Employed Deductions CalculatorIf you are self-employed in Ireland, knowing what expenses you can deduct against your income is the single most effective way to reduce your tax bill. This guide covers allowable deductions for 2026, the expenses Revenue will not accept, and worked examples showing the real savings at €40k, €60k, and €80k income levels. All figures reflect current Irish tax rules (income tax, Class S PRSI at 4.1%, and USC up to 8%).
Revenue allows deductions for expenses that are incurred wholly and exclusively for the purpose of your trade. The table below lists the most common categories claimed on Form 11.
| Expense category | Details | Typical claim method |
|---|---|---|
| Home office | Electricity, heating, broadband, phone | €2/day flat rate OR apportion actual bills |
| Mileage / motor expenses | Business travel in own vehicle | €0.4848/km (first 6,437 km), €0.2424/km thereafter |
| Equipment & tools | Laptops, software, machinery, tools | Capital allowances (wear and tear) over 8 years |
| Training & education | Courses directly related to current trade | 100% in year paid (not for new trade) |
| Pension contributions | PRSA or personal pension | Up to age-related % of net relevant earnings |
| Professional subscriptions | Trade bodies, professional registration | 100% in year paid |
| Accountancy fees | Bookkeeping, tax return preparation | 100% in year paid |
| Insurance | Public liability, professional indemnity, van insurance | 100% in year paid |
| Office & admin | Stationery, postage, printing, website hosting | 100% in year paid |
Claiming disallowable expenses is one of the fastest ways to trigger a Revenue audit. These items are never deductible, even if they are genuinely necessary for your work.
| Expense | Why it is not deductible |
|---|---|
| Commuting (home to workplace) | Not considered business travel — it is personal travel to a fixed place of work |
| Client entertainment | Entertainment costs are disallowable for tax purposes regardless of business purpose |
| Clothing (general workwear) | Ordinary clothing is a personal expense; protective/uniform clothing is allowable |
| Fines & penalties | Parking tickets, late-filing penalties, interest on late tax — never deductible |
| Capital assets (bought outright) | You claim capital allowances (depreciation) instead of an upfront deduction |
If you work from home, you can deduct a portion of your household bills. The simplest method is the €2-per-day flat rate — claim €2 for each day you work from home. No receipts needed for utilities, but you should note the days worked. At 220 working days per year, that is €440.
The apportionment method requires more record-keeping but can yield a higher deduction. Keep your actual electricity, heating, broadband, and phone bills, then calculate the business-use percentage. For example, if your home office occupies 12% of the floor area and you work 5 days per week, you might claim 12% of heat & light costs plus 100% of a dedicated business broadband line.
For 2026, Revenue recognises the following motor rates: €0.4848 per km for the first 6,437 km of business travel in a calendar year, and €0.2424 per km thereafter. This covers fuel, insurance, tax, maintenance, and depreciation. If you drive 10,000 km for business in a year, the deduction is (6,437 × €0.4848) + (3,563 × €0.2424) = €3,120 + €864 = €3,984.
Keep a mileage logbook showing: date, start/end points, distance, and business purpose. Revenue may request it during a compliance check.
For self-employed people, a PRSA (Personal Retirement Savings Account) is the most common pension vehicle. Contributions are deducted from your total income on Form 11, reducing your tax at the marginal rate. The age-related limits are:
| Age | Max contribution % | Max at €80k income |
|---|---|---|
| Under 30 | 15% | €12,000 |
| 30–39 | 20% | €16,000 |
| 40–49 | 25% | €20,000 |
| 50–54 | 30% | €24,000 |
| 55–59 | 35% | €28,000 |
| 60+ | 40% | €32,000 |
The earnings cap for pension relief purposes is €115,000 (2024, indexed periodically). If you earn above that, the percentage is calculated on €115,000, not your full income. All contributions are net of tax — you claim the relief on your Form 11.
These examples assume a self-employed individual aged 40–49 (25% pension limit) with the listed business expenses and pension contributions. Tax calculations are approximate and use current Irish income tax rates (20% / 40%), Class S PRSI at 4.1%, and USC at progressive rates up to 8%.
| Item | €40k income | €60k income | €80k income |
|---|---|---|---|
| Gross income | €40,000 | €60,000 | €80,000 |
| Business expenses | –€8,000 | –€12,000 | –€18,000 |
| Pension contribution | –€6,000 | –€12,000 | –€20,000 |
| Taxable income | €26,000 | €36,000 | €42,000 |
| Income tax (approx) | €5,200 | €9,200 | €11,600 |
| Class S PRSI (4.1%) | €1,066 | €1,476 | €1,722 |
| USC (approx) | €1,040 | €2,160 | €3,120 |
| Total tax bill | €7,306 | €12,836 | €16,442 |
Self-employed individuals in Ireland must file a Form 11 return each year via Revenue’s online service (ROS or myAccount). The deadline for paper filing is 31 October following the tax year; for ROS online filing (with a preliminary tax payment on ROS), the deadline extends to mid-November. If you file and pay online via ROS, you also get a longer preliminary tax deadline in the year itself.
Key sections on Form 11 that relate to deductions:
Use our contractor calculator to model your net income after expenses, pension contributions, and all deductions — showing exactly how much tax you can save by claiming the allowances you are entitled to.