S.L. 123.201 Art. 5Tax rebate. Cap. 123. Cap. 123.

(1) Subject to the other provisions of these rules, a person who, in the year immediately preceding the year of assessment, derives income to which these rules apply and who, for that year of assessment, exercises the option referred to in article 31D(2) of the

Income Tax Act, shall be entitled to a tax rebate.

(2) The rebate shall be granted in the form of a deduction from the tax chargeable in terms of article 31D of the Income Tax Act on the rental income from each relevant private residential lease, to the extent that it represents income to which these rules apply, and shall be determined by reference to the duration of that lease and the number of bedrooms of the leased premises as stated in the contract as provided in the following table and in the other provisions of this rule:

Duration of the lease Number of Tax bedrooms rebate At least two years but less than One €200 three years Two €300 Three or more €400 Three years or more One €300 Two €400 Three or more €500

(3) In respect of the year during which a lease commences or is terminated, the rebate shown in the last column of the above table shall be reduced to the number of days for which the lease is pro rata (TAX REBATE)

in force for that year.

(4) The rebate for any year in respect of a lease cannot exceed fifteen percent (15%) of the rent derived in that year from that lease.