Childcare Services Income Exempt From Tax

A. If you provide childminding services in your own home, you may claim childcare services relief each year. This relief provides an exemption from Income Tax for certain childcare income.

In order to qualify you must:

• not receive more than €15,000 income per annum
• provide the service in your own home
• not mind more than three children at any one time
• be self-employed
• show you have notified the Health Services Executive (HSE) that you have, will be, or are providing childcare services

All the criteria must be satisfied to qualify for the exemption.

In order to claim the relief, you must register for Income Tax and file a tax return each year.

While this relief exempts you from income tax you should note that you may still have a liability to PRSI which would need to be paid prior to the income tax deadline.

Date published 19 Oct 2017

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.