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Commentary

4.2 Benefits that are not taxed

Republic of Ireland

A cash-convertible benefit (also known as a perquisite or 'perk') is taxed as income. For example, annual holidays, or payment of your employee's private bills (for example, life insurance, medical insurance).

The following benefits do not give rise to BIK (Revenue.ie):

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    •ÌýÌýÌýÌý Small Benefit Exemption: from 1 January 2025, an employer can give employees up to five (two in 2024) small benefits, tax-free, each year. These benefits must not be in cash and the combined value of the five benefits cannot exceed EUR 1,500 (EUR 1000 in 2024). If more than five benefits are given in a year, only the first five qualify for tax-free status. Unused allowance amounts cannot be carried over. Tax-free vouchers

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