Tuition fees paid for third level education
How do you calculate the relief?
You will receive relief at the standard rate of tax, which is 20%. This is applied to the total qualifying fees once the disregard amount has been subtracted.
Note
You might pay tuition fees in instalments. The effect this has on how you calculate relief is explained in ‘Paying tuition fees in instalments’.
What are the qualifying fees?
The qualifying fee is the amount you pay for tuition fees (including the student contribution). The maximum amount you can claim is €7,000 per person per course.
The €7,000 maximum is applied to each course for each academic year.
No relief is available for additional fees such as:
- administration fees
- student levy
- sports centre charge
- and
- USI Levy.
What is a disregard amount?
Each claim is subject to a single disregard amount each tax year. This amount is taken away from your total qualifying fees. You cannot receive relief on the disregarded portion of the fees.
If you have paid fees for more than one course or student, you only subtract the disregard amount once. The effect of this is that claimants get full tax relief on qualifying fees and payments for subsequent students.
There are different disregard amounts for full-time or part-time courses. The disregard amount is €3,000 in respect of a full-time course and €1,500 in respect of a part-time course.
You might pay for full-time courses and part-time courses in the same year. In this case, you should use the full-time course disregard amount.
Relief for more than one course
You might be doing more than one third-level course at the same time. There is no restriction on the number of courses you can include. You make a claim for relief on the total amount of qualifying fees you pay. Each course is restricted to a maximum of €7,000.
A single disregard amount is applied to the claim.
Relief for more than one student’s fees
You can claim relief for one or more students' tuition fees. There is no limit to the number of students or courses they do, provided you have paid the fees. The qualifying fee for each course is restricted to a maximum of €7,000.
A single disregard amount is applied to the claim.
- Example 1
Mary starts a full-time course at a public college in 2023. She qualifies for the free fees scheme but has to pay the student contribution of €3,000, a student levy of €247 and capitation fees of €120.
No relief is available on the student levy or capitation fees.
She must subtract the disregard amount of €3,000 from the student contribution of €3,000.
This leaves her with nil. She cannot claim tax relief on tuition fees in 2023.
- Example 2
John pays tuition fees of €5,500, the student contribution of €3,000 and student levy of €247 for a full-time course in 2023. He pays a total qualifying fee of €8,500. The student levy of €247 does not qualify for relief. The maximum he can claim for the course is €7,000.
John’s calculation of relief
| | Amount |
|---|
|
Qualifying fee
|
€7,000
|
|
Deduct full-time disregard amount
|
€3,000
|
|
Amount relief applies to
|
€4,000
|
|
Tax relief received (20%)
|
€800
|
- Example 3
Oscar pays tuition fees for his two children in 2022.
Sam: Full-time course €9,000.
Alan: Part-time course €3,500.
Qualifying fees:
Sam - €7,000 (Fess of €9,000 are restricted to the maximum limit of €7,000).
Alan -€3,500
Oscar’s calculation of tax relief
| | Amount |
|---|
|
Qualifying fee for Sam
|
€7,000
|
|
Qualifying fee for Alan
|
€3,500
|
|
Total qualifying fees
|
€10,500
|
|
Deduct full-time disregard amount
|
€3,000
|
|
Amount relief applies to
|
€7,500
|
|
Tax relief received (20%)
|
€1,500
|
- Example 4
Leanne pays tuition fees of €9,000 (including the student contribution of €3,000) for a part-time course in 2022.
She is restricted by the maximum limit of €7,000. She can only claim relief on €7,000.
Leanne’s calculation of relief
| | Amount |
|---|
|
Qualifying fee
|
€7,000
|
|
Deduct part-time disregard amount
|
€1,500
|
|
Amount relief applies to
|
€5,500
|
|
Tax relief received (20%)
|
€1,100
|
- Example 5
Josh pays tuition fees for himself and his wife in 2023. He pays €8,000 for a full-time course and €9,000 for his wife's full-time course.
He is restricted by the maximum limit of €7,000 for each course. He can only claim relief on €14,000.
Josh’s calculation of tax relief
| | Amount |
|---|
|
Qualifying fee his full-time course
|
€7,000
|
|
Qualifying fee his wife’s full-time course
|
€7,000
|
|
Total qualifying fees
|
€14,000
|
|
Deduct full-time disregard amount
|
€3,000
|
|
Amount relief applies to
|
€11,000
|
|
Tax relief received (20%)
|
€2,200
|
Next: Restrictions