57,000 people currently receiving mortgage interest relief will no longer be entitled to it from tomorrow.
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According to the Revenue Commissioners, as of the end of last year, there were 562,000 people receiving mortgage interest relief.
However the entitlement is to be suspended from 1 May for everyone except first-time buyers.
The move follows the announcement by the Government in its supplementary Budget to limit mortgage interest relief to seven years.
Last night, Opposition parties in the Dáil accused the Government of creating confusion over the issue.
Under the new system, the tax relief on monthly mortgage interest payments will only apply for the first seven years after someone buys a property for use as their home.
According to the Revenue, the move means mortgage interest relief will be suspended for 321,000 of the 562,000 people currently receiving the entitlement.
Of those, Revenue says 57,000 people will definitely no longer be entitled to it.
It says it is in the process of working with mortgage lenders to establish who is and who is not entitled to the relief.
Mortgage holders who have the relief suspended but are entitled to continue to receive it will have it reactivated in June, all arrears included.
220,000 first-time buyers will not be affected by tomorrow's move and will continue to receive the entitlement.
Meanwhile, the Minister for Finance has accused the Opposition of being irresponsible and of frightening people over the Mortgage Interest Relief issue.
Speaking in Dublin this morning Brian Lenihan said the position on MIR is very clear cut.
If you buy a house for the first time or move house you are entitled to claim MIR for the proceeding seven years, Mr Lenihan said.
He said Revenue has made the information clear and there is ample information on the Revenue website.
Minister Lenihan said the need for clarification was necessary yesterday, because of the doubts that were sown.
He said all the practical problems will be worked through.
The reason the Government was focusing on giving MIR to people over the last seven years is because those are the people who bought houses when prices were high and they have to be protected as prices come down, he added.
Fine Gael claimed confusion over mortgage interest relief is proof that Mr Lenihan is not competent to be Minister for Finance.
The party's enterprise spokesperson, Leo Varadkar, said the Taoiseach had picked the wrong team for the key economic portfolios, which is not capable of steering the economy out of recession.
He claimed that Mr Lenihan's time as Minister for Finance was ‘littered with gaffes and errors which impact directly on ordinary citizens’.
The General Secretary of the Irish Congress of Trade Unions, David Begg, has described the mortgage interest relief controversy as a debacle which will cause huge hardship to people around the country.
