TAX RATE ADJUSTMENT RULES

TAX RATE ADJUSTMENT

SUBSIDIARY LEGISLATION 123.167

TAX RATE ADJUSTMENT RULES

15th April, 2016

LEGAL NOTICE 127 of 2016, as amended by Legal Notice 101 of 2025.

(1) The title of these rules is the Tax Rate Adjustment

Rules.

(2) These rules shall be deemed to have come into force with

effect from the year immediately preceding the year of assessment

2017.

(1) Any person subject to tax under the Income Tax Act,

hereinafter referred to as "the Act", shall be allowed a tax rebate in

the circumstances established by these rules and in the amounts

stipulated herein.

(2) In the case of a person chargeable to tax under the

provisions of article 56(1)(a) of the Act and whose chargeable

income for the year is higher than €28,700 but less than €28,860, a

tax rebate shall be allowed as a set-off against the tax on his

chargeable income, as follows

Tax Rebate = €25,550 – (chargeable income less tax on

such chargeable income).

(3) In the case of a person chargeable to tax under the

provisions of article 56(1)(b) of the Act and whose chargeable

income for the year is higher than €19,500 but less than €19,620, a

tax rebate shall be allowed as a set-off against the tax on his

chargeable income, as follows

Tax Rebate = €17,440 – (chargeable income less tax on

such chargeable income).

(4) In the case of a person chargeable to tax under the

provisions of the second proviso to article 56(1)(b) of the Act and

whose chargeable income for the year is higher than €21,200 but

less than €21,340, a tax rebate shall be allowed as a set-off against

the tax on his chargeable income, as follows

Tax Rebate = €19,055 – (chargeable income less tax on

such chargeable income).

Notwithstanding the other provisions of these rules, no tax

rebate under these rules shall be allowed for the year of assessment

2026 and the subsequent years of assessment.