DIRT Tax Calculator Ireland 2026
Calculate Deposit Interest Retention Tax (DIRT) on your Irish savings and deposit interest. Uses the 2026 rate of 33%. Includes PRSI on unearned income and a first-time buyer exemption check. Free, private — no signup required.
What Is DIRT and How Is It Calculated?
Deposit Interest Retention Tax (DIRT) is a withholding tax charged on interest earned in Irish bank and building society accounts. Introduced to ensure that deposit income is taxed at source, DIRT is deducted by your financial institution before interest is credited to your account. For 2026, DIRT is charged at a flat rate of 33% on all deposit interest, regardless of your other income or tax rate band. This means if your savings account earns €1,000 interest in a year, the bank retains €330 as DIRT and pays you only €670.
DIRT is not the same as income tax — it is a separate withholding tax with its own rate and rules. However, since 2020, DIRT and income tax on deposit interest have been aligned: if your marginal income tax rate is 40%, you do not owe additional tax on DIRT-deducted interest (since 33% DIRT plus 4% PRSI already brings the combined charge close to the top marginal rate). If your marginal rate is 20%, DIRT is more than your standard liability, but Revenue does not refund the difference for most taxpayers.
PRSI on Deposit Interest
Since 2014, deposit interest is also subject to PRSI. Unlike DIRT, PRSI is not deducted at source — it must be declared and paid via self-assessment or through your annual tax return on Revenue myAccount. PRSI on unearned income applies to individuals under 70 who do not hold a full medical card and whose annual deposit interest exceeds €100. The rate is 4.2% on interest paid up to 30 September 2026 and 4.35% from 1 October 2026, following the 0.15 percentage point increase applied across all PRSI classes under Budget 2026. So the combined charge on deposit interest for a standard taxpayer is 37.2% now and 37.35% from October. This calculator shows both figures so you know your full liability.
DIRT and PRSI Rates for 2026 — What Changed on 1 October
DIRT itself is unchanged: 33% for 2026, deducted at source by your bank, per Revenue's DIRT rate guidance. What moved is PRSI. Budget 2026 continued the phased increases first announced in Budget 2025, adding 0.15 percentage points to every PRSI class from 1 October 2026 — so the employee and self-employed rate goes from 4.2% to 4.35%, and the same rate governs PRSI on unearned income such as deposit interest. On €1,000 of gross interest that is the difference between €372.00 and €373.50 in total tax; small per account, but it changes the figure on a self-assessment return. Because the change lands mid-year, the calculator above asks when the interest was paid rather than assuming one rate for all of 2026. Updated 2026-09-08.
Irish Savings That Are Not Subject to DIRT
Not every euro of Irish deposit interest is a DIRT euro, and the difference decides whether this calculator applies to your account at all. State Savings products sold through An Post — Savings Certificates, Savings Bonds, National Solidarity Bonds and the Prize Bond prize fund — pay their return free of DIRT, which is why their headline rates look lower than a bank's: the bank rate is before tax and the State Savings rate is after it. Interest inside a pension or an approved retirement fund is also outside DIRT, and credit union dividends are treated as deposit interest and are inside it. Enter only bank, building society and credit union interest above, otherwise the tool reports tax on money that is never taxed. The product list and the DIRT rules are published by Revenue. Updated 2026-09-15.
First-Time Buyer DIRT Exemption
First-time buyers can reclaim DIRT deducted from a dedicated savings account used to fund their first home purchase. The exemption covers interest earned in the 4 years before completion, provided the account was held with a qualifying institution and the property becomes your principal private residence. Couples buying together can each claim the exemption on separate accounts. The refund is claimed through Revenue after you complete the purchase — this calculator flags whether you may qualify so you can plan ahead.
Senior and Low-Income DIRT Exemptions
Individuals aged 65 or over (or whose spouse is aged 65+) can apply for a DIRT exemption if their total annual income is below the Age Exemption Limit — €18,000 for a single person or €36,000 for a married couple in 2026. The exemption is granted in advance by completing Form DE1 through Revenue; once approved, your bank pays interest gross. Similarly, individuals who are permanently incapacitated may also qualify for a DIRT exemption. Standard PAYE workers overpaying DIRT can claim refunds via myAccount on Revenue.ie.
Frequently Asked Questions
Do I pay DIRT on State Savings from An Post?
No. State Savings products such as Savings Certificates, Savings Bonds, National Solidarity Bonds and Prize Bond winnings are paid free of Deposit Interest Retention Tax. That is also why their advertised return looks lower than a bank rate quoted before tax. Leave that interest out of this calculator.
Is credit union interest subject to DIRT in Ireland?
Yes. A credit union dividend or share interest is treated as deposit interest, so DIRT applies in the same way as it does to a bank account and the credit union deducts it before paying you. Include it in the gross interest figure above.
What is DIRT in Ireland?
DIRT (Deposit Interest Retention Tax) is a withholding tax deducted at source by Irish banks and financial institutions on interest earned on deposit accounts. For 2026, DIRT is charged at 33% on all deposit interest.
What is the DIRT rate for 2026?
The DIRT rate for 2026 is 33%. This rate applies to interest earned on all Irish deposit accounts including current accounts, savings accounts, and fixed-term deposits.
Are first-time buyers exempt from DIRT?
Yes, first-time buyers are exempt from DIRT on savings accounts used to purchase their first home. The exemption applies to interest earned in the 4 years before purchase. You claim the refund through Revenue after completing your purchase.
Do I need to declare DIRT on my tax return?
If DIRT is your only unearned income, you do not need to file a self-assessment return solely because of DIRT — the bank deducts it at source. However, you must still declare PRSI on deposit interest via Revenue myAccount if it applies.
Can pensioners get a DIRT exemption?
Yes, individuals aged 65 or over may be exempt from DIRT if their total income is below €18,000 (single) or €36,000 (couple) in 2026. Apply in advance via Form DE1 through Revenue.
Is DIRT charged on foreign bank accounts?
DIRT is only withheld by Irish financial institutions. Interest from foreign accounts must be declared on your Irish tax return as foreign income and is taxed at your marginal income tax rate.
What is the PRSI rate on deposit interest in 2026?
It is 4.2% on interest paid up to 30 September 2026 and 4.35% on interest paid from 1 October 2026, because Budget 2026 added 0.15 percentage points to every PRSI class from that date. DIRT stays at 33%, so the combined charge for a standard taxpayer is 37.2% before October and 37.35% after. Select the payment date in the calculator so the right rate is applied.
How much tax do I pay on €1,000 of Irish deposit interest?
For a standard taxpayer liable for PRSI, €1,000 of gross interest carries €330 DIRT plus €42.00 PRSI up to 30 September 2026, leaving €628.00 net. From 1 October 2026 the PRSI rises to €43.50, leaving €626.50. If you are DIRT exempt as a first-time buyer or a qualifying over-65, only the PRSI element applies.