I bought a bike under the Cycle to Work tax scheme in December 2013. The bike was stolen last week. Can I use the scheme again when I buy a replacement bike?
The Cycle to Work Scheme is a tax incentive scheme which aims to encourage employees to cycle to and from work. Under the scheme, employers can pay up to €1,000 for a bicycle and bicycle equipment for each of their employees. The repayment for the bicycle and equipment is then deducted from your gross salary (this means before income tax, PRSI or the Universal Social Charge are deducted) over a period of up to 12 months.
You can only avail of the scheme once in a five-year period. The tax year in which the bike is purchased is counted as the first year. So, if you used the scheme in 2013 (regardless of the month), you can use it again if you want to buy another bike in 2018 (from January).
You must use the bicycle and safety equipment mainly for qualifying journeys. This means all or part of your journey to and from work.
If you buy a bike in 2018, you cannot get another bike under the Cycle to Work Scheme until 2023.
If you are concerned about another theft you could insure your new bike under your household insurance policy or you could use a special cycle insurance scheme.
Further information is available from the Citizens Information Service below.
Know Your Rights has been compiled by Boyle Citizens Information Centre which provides a free and confidential service to the public. Tel: 0761 07 6330
Address: Elphin Street, Boyle, Co. Roscommon
Information is also available online at citizensinformation.ie and from the Citizens Information Phone Service - 0761 07 4000