Louise O'Reilly (Dublin Fingal West, Sinn Fein)
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439. To ask the Minister for Finance if he is aware that persons doing dialysis in their home are not eligible to claim back any of the costs unless they are taxpayers or living with taxpayers; if he is aware that this is potentially a disincentive to availing of the dialysis at home scheme; if there are plans to revise this; and if he will make a statement on the matter. [12311/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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Section 469 of the Taxes Consolidation Act 1997 (TCA 1997) provides for tax relief where an individual proves that they have incurred costs in respect of qualifying health expenses. This is one of a range of tax reliefs and credits which are provided for in Part 15 of the TCA 1997 which reduce an individual’s Income Tax liability.

Only "health expenses" incurred in the provision of “health care”, which has been carried out or advised by (in certain circumstances) a practitioner, will qualify for tax relief. I am advised by Revenue that maintenance or treatment costs that are incurred either in hospitals or elsewhere (for example in clinics or treatment rooms) will qualify for relief where they are necessarily incurred in association with the services of a practitioner.

Furthermore, Revenue guidance sets out that relief may be allowed under the following headings for home dialysis kidney patients-

a) electricity;

b) laundry and protective clothing;

c) telephone; and

d) travelling.

Further guidance on the tax relief for health expenses can be found in Revenue’s Tax and Duty Manual Part 15-01-12, which can be accessed at the following link:

www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-15/15-01-12.pdf

Like all other tax credits, the relief for health expenses is a relief against Income Tax. In this regard, the claimant must have an Income Tax liability to benefit from this relief. If the health expenses due exceeds the claimant’s Income Tax liability the relief will apply to the extent that it reduces the claimant’s Income Tax liability for that year to nil. As health expenses is a relief against Income Tax, there is no relief against Universal Social Charge (USC) or Pay Related Social Insurance (PRSI).

I would note that the health expenses relief is a longstanding and broadly availed of relief. In 2022, the cost of tax relief for health expenses (excluding nursing home expenses) was €201.1 million and it was availed of by 662,900 claimants.

I have no plans to revise the relief in the manner suggested.